recruitment process of SJIBL.docx

1.1 Preface:

In today’s world academic education is not adequate to enable a student to compete with

confidence and reach his/her goal without having experience with the outside world. In order to

have an idea and gain experiences, we, the students of Department of Accounting & Information

Systems, University of Dhaka have to undertake twelve weeks internship program at any

organization.

As a part of my MBA program, the twelve weeks internship program gave me the opportunity

to have a practical knowledge on the business procedure of a renowned

financial institution namely “Shahjalal Islami Bank Limited.” Throughout the period of my

internship, I had been working in Human Resource Division of the Bank as my main focus was

to achieve a practical knowledge about how a banking organization plans and manages their

human resources towards achieving organizational goals. In addition to that, I have also tried to

find out whether there are any lacking in the Bank’s HR process and the causes of employee

turnover.

The report will mainly reveal the background of the company, overview & evaluation of the HR

practices and employee turnover and finally, findings and recommendations based on the

experience gathered and analysis performed.

1.2 Derivation of the Study:

Human Resources are essential and foundational to the growth and development of any

organization and hence the ability to satisfy and retain quality and trained employee is vital. It

must be therefore very crucial to identify if there is an underlying dissatisfaction amongst the

existing employees of the organization and if it is then consequently to find ways out to confront

all such Human Resource related challenges. With that issue keeping in mind, I have commenced

my internship report which theme is “Evaluation of HR Practices & Overall Employee

Turnover” of a financial institution like Shahjalal Islami Bank Limited. Thus, the concerned bank

can be the largest beneficiary of this report.

1.3 Intentions of the study:

Core intention regarding this report is:

To evaluate the Human Resource Practices of Shahjalal Islami Bank Limited in

order to find out their shortcomings in this era comparative to other private

commercial banks as well as to evaluate the overall Employee Turnover of the

Bank to find out the trend and causes of such turnover.

Ancillary intentions are:

To get familiar with the human resource management system in the Banking arena and to

grasp an idea about the workflows of a bank’s human resources division.

To have an idea about overall employee turnover of Shahjalal Islami Bank Ltd.

Understanding the environment, functions and management of SJIBL.

Getting meaningful work experience to expand my knowledge beyond my theoretical

base.

1.4 Scope of the Report:

This report will give a clear idea about the responsibilities of the ‘Human Resources Division of

Shahjalal Islami Bank Limited.” Moreover analysis will also be shown regarding evaluation of

the existing human resource practices of the Bank and to find out the trend of and causes behind

the employee turnover of the Bank. Necessary recommendations will be provided as well based

on the findings later on.

Research Design and Methodology:

The report is a descriptive research and practical outcome. In order to prepare the assigned

report I have collected necessary information from two types of source as follows:

Primary Sources:

Most of the necessary information has been collected by from the personal observation

and one to one discussion with the relevant officials. Throughout the tenure of my internship, I

worked in different wings of human resource division which gave me a great opportunity to collect

information and learn more.

Secondary Sources:

The secondary data sources are service rules, rules of delegation of authority, annual reports,

articles, dissertations, and web pages of Shahjalal Islami Bank Limited and different publications

of other private commercial banks.

1.5 Confines in Preparing the Report:

Instead of my heartiest endeavor to make this report based on facts and complete

information available, there are some confines that are inevitable. These are following:

The main obstacle while preparing this report was time. As the tenure of the internship

program was only twelve weeks, it was not possible to highlight everything deeply.

Moreover officials remain too much busy because of immense pressure of their

responsibilities, which often hampered my discussion with them which made my short time

period more shorter.

Confidentiality of information was another barrier that hindered the study.

Sufficient records, publications were not available as per my requirement.

2 Shahjalal Islami Bank Limited:

2.1 Backdrop History:

With a view to materializing the dream of the people of Bangladesh for doing their banking

transactions in line with what is prescribed by Islam, a group of highly successful entrepreneurs

conceived an idea of floating a commercial bank styled as “Shahjalal Islami Bank Limited”

which is named after the name of the renowned saint “Hazrat Shahjalal (R)” who dedicated his

life for the cause of peace in this world and hereafter and for the service of humanity. The

sponsors are reputed personalities in the field of trade & commerce, industry and finance.

Shahjalal Islami Bank Limited (SJIBL) commenced its commercial operation in accordance with

principle of Islamic Shariah on the 10th May 2001 under the Bank Companies Act, 1991 with

the 1st branch (main branch) opened at 58, Dilkusha C/A, Dhaka. During last Eleven years SJIBL

has diversified its service coverage by opening new branches at different strategically important

locations across the country offering various service products both investment & deposit. Islamic

Banking, in essence, is not only INTEREST-FREE banking business, it carries deal wise

business product thereby generating real income and thus boosting GDP of the economy. Board

of Directors enjoys high credential in the business arena of the-country, Management Team is

strong and supportive equipped with excellent professional knowledge under leadership of a

veteran Banker Mr. Md. Abdur Rahman Sarker.

Shahjalal Islami Bank Ltd. has already made significant progress within a very short period of its

existence. The bank has been graded as a top class bank in the country through internationally

accepted CAMELS- stand on Capital, Asset, Management, Earning, Liquidity and Sensitivity to

market risk. The bank has already occupied an enviable position among its competitors after

achieving success in all areas of business operation and as a reward of its contribution to the

trade and economy of our country it has achieved the “ICMAB Best Corporate Award 2011”.

Corporate Information at a Glance:

Name of the Company Shahjalal Islami Bank Limited

Legal Form A public limited company incorporated in Bangladesh on 1st April 2001 under the companies Act 1994 and listed in Dhaka Stock Exchange Limited and Chittagong Stock Exchange Limited.

Commencement of Business 10th May 2001

Registered Office Uday Sanz, 2/B Gulshan South Avenue, Gulshan-1,Dhaka-1212.Telephone No.: 88-02-8825457, 8824736Fax No.: 88-02-8827607

Website www.shahjalalbank.com.bd

SWIFT SJBL BD DH

E-mail [email protected]

Chairman Alhaj Anwer Hossain Khan

Managing Director Md. Abdur Rahman Sarker

Company Secretary Emran Hossain

No. of Branches 73

No. of ATM Booth 15

No. of SME Centers 06

Off-Shore banking Unit 01

No. of Employees 1,624

Stock Summary Authorized Capital Tk. 6,000.00 millionPaid up Capital Tk. 4,452.65 millionFace Value per Share Tk. 10.00

Corporate Ethos:

Vision:

SJIBL wants to be- The unique modern Islami Bank in Bangladesh and to make significant

contribution to the national economy and enhance customers’ trust & wealth, quality investment,

employees’ value and rapid growth in shareholders’ equity.

Mission:

To provide quality services to customers.

To set high standards of integrity.

To make quality investment.

To ensure sustainable growth in business.

To ensure maximization of Shareholders’ wealth.

To extend our customers’ innovative services acquiring state-of-the-art technology

blended with Islamic principles.

To ensure human resource development to meet the challenges of the time.

Motto:

“Committed to Cordial Service”

Brand Promise:

SJIBL’s commitment to three core pillars:

• People – Its long-standing relationships and focus on customers and clients.

• Progress – the way it conducts itself.

• Long run – its footprint and heritage.

Strategies:

To strive for customers’ best satisfaction & earn their confidence.

To manage & operate the Bank in the most effective manner.

To identify customers’ needs & monitor their perception towards meeting those

requirements.

To review & update policies, procedures & practices for providing better services to the

customers.

To train & develop all employees & provide them adequate resources so that the

customers’ needs are reasonably addressed.

To promote organizational efficiency by communicating company plans, polices &

procedures openly to the employees in a timely fashion.

To ensure a congenial working environment.

To diversify portfolio in both the retail & wholesale markets.

Features of SJIBL:

There are so many reasons behind the better performance of Shahjalal Islami Bank Ltd. than any

other newly established banks:

Shahjalal Islami Bank Ltd. has established a core Research & Planning Division

comprising skilled person from the very inception of the bank.

Highly qualified and efficient professionals manage the bank.

The inner environments of all the branches of Shahjalal Islami Bank Ltd. are well

decorated.

Banking operations of all the branches of the Bank have been computerized to provide

prompt & frequent customer service.

The Bank has established correspondent relationship with 76 countries of the world.

Shahjalal Islami Bank Ltd. provides attractive interest role than that of the other financial

institutions.

The Bank provides loan to the customers at lower interest with easy & flexible condition

than the others do.

The Bank frequently arranges customers meeting to achieve their valuable suggestions.

Letter of Credit (L/C) commissions and other charges are very lower than that of the

other banks.

Profit earning is not the main aim of SJIBL. The bank is responsible to maintain the

social duties.

The Bank is committed to provide the cheque amount within 30 seconds of submission

the cheque.

Business Strengths:

♦ Second Largest bank in Bangladesh

♦ Extended network of 851 branches across the counties

♦ Holds a fine reputation in the banking industries

♦ Sponsoring by the government

♦ Personalized services

♦ Well linked distribution channel from Head Office to all branches

♦ Sound correspondent relationships with foreign banks

♦ Provide a record business run with computers under centralized network

♦ Sound and large capital base

♦ Promising growth opportunity

Business Prospects:

Surplus Capital Adequacy after IPO subscription.

Business expansion in Capital Market.

Gradual expansion of branch network.

Progressive automation of the branches.

BEFTN services for real online banking.

Expansion of ATM and Credit Card.

Consideration of prime customers.

Products and Schemes provided by SJIBL:

Shahjalal Islami Bank Ltd. offers all kinds of Commercial Corporate and Personal Banking

services covering all segments of society within the framework of Banking Company Act and

rules and regulations laid down by our central bank. Diversification of products and services

include Corporate Banking, Retail Banking and Consumer Banking right from industry to

agriculture, and real state to software.

Mudaraba Monthly Income

Mudaraba Double Money

Mudaraba Monthly Deposit

Mudaraba Millionaire

Mudaraba Hajj Deposit

Mudaraba Housing Deposit

Mudaraba Small Business

Mudaraba Cash Waqf Deposit

Mudaraba Lakhopoti Deposit

Mudaraba Bibaho Deposit

Mudaraba Mohor Deposit

Mudaraba Shikhkha Deposit

Mudaraba Special term Deposit

SJIBL School Banking

Mudaraba Money Spinning

Investment Schemes:

General Investment Scheme.

Consumer Credit Scheme.

Hire-Purchase.

House Building Investment/Apartment Investment.

Advances against shares.

Value Added Credit Line for Senior Citizen Residential Home Modernization and Renovation Scheme.

Special Rebate on profit rate on Investment.

Special Subsidized Credit Line for Quality Health Care for all.

Special Credit Line for Small & Medium shop owners.

Safe Custody Locker Facility.

Other Operations:

Multi-Currency Account.

Underwriting-cum-Bridge Finance.

Non-Formal Banking Sector

Family Empowerment Micro Credit Program.

Family Empowerment Micro Enterprise Program.

Student Shahjalal Fellowship Program.

Shahjalal Fund Investment and its utilization.

Rotating Family Savings and Credit Net (RFSCN).

Non-formal Real Life School of Management.

Displaced Garments Child Worker Student Stipend Disbursement Program.

Voluntary Banking Sector:

Shahjalal Capital Market Operation Program.

Cash Waqf Certificate.

Mosque/waqf Property Development Bond.

Mosque/waqf Property Development Quard-e-Hasanah Certificate.

Non-Muslim Trust Property Development Bond.

Mosque/waqf Property Development Scheme.

Sabuj Haat Project.

Non-Muslim Trust Property Development Scheme.

Company Performance at a Glance:

SJIBL has continued to deliver consistent, diverse and sustained growth while investing to

underpin future momentum and building balance sheet resilience. A clear idea about its

performance can be obtained through the following financial highlights:

SI No Particulars 2009 2010 2011

01 Total Capital (Taka) 5,430m 7,747m 9,183m

02 Total Assets (Taka) 58,921m 78,800m 107,229m

03 Total Shareholder’s Equity (Taka) 4,676m 6,748m 7,917m

04 Total Deposits (Taka) 47,459m 62,965m 83,350m

05 Total Investment (Taka) 43,958m 61,440m 80,592m

06 Total Income (Taka) 7,117m 9,509m 12,007m

07 Total Expenditure (Taka) 5,076m 5,980m 9,009m

08 Profit after Tax (Taka) 1,071m 2,072m 1,168m

09 Import Business (Taka) 39,543m 60,066m 82,341m

10 Export Business (Taka) 29,434m 48,857m 79,225m

11 Profit Earning Assets (Taka) 53,132m 67,139m 92,569m

12 Provision Surplus (Taka) 98.70m 88.68m 126.76m

15 Net Asset Value Per Share (Taka) 17.98 19.70 17.78

16 Earnings Per Share (Taka) 3.13 4.65 2.62

17 Net Operating Cash Flow per Share (Taka)

140.94 25.59 7.32

13 Capital Adequacy Ratio 9.52% 10.08% 11.40%

14 Classified Investment as % of Total Investment

0.94% 1.91% 1.89%

18 Return on Equity (ROE) 25.10% 30.71% 13.80%

19 Return on Assets (ROA) 2.08% 3.01% 1.26%

20 Price Earnings Ratio 12.24% 17.04% 12.38%

21 Number of Foreign Correspondents 610 637 679

22 Number of Employees 1299 1521 1624

23 No. of Shareholders 36,675 54,549 78,104

Human Resource Division of SJIBL:

HRD of SJIBL Located in the Gulshan Head office. It is a very restricted area & the personnel

are very strict to maintain their privacy and rules & regulations.

HRM Objectives of SJIBL:

The objectives of SJIBL’s HRM are focused to achieve the organizational goals as follows:

1. To hire the right person for the job to employ the skills and abilities of the workforce

efficiently in the achievement of SJIBL’s goals.

2. To attract competent employees and retain them in the bank to enrich the organization with

diversified knowledge, which will expedite the expansion of the Bank.

3. To create and utilize an able and motivated workforce to reduce the employee turnover as

well as to accomplish the basic goals of SJIBL.

4. To establish and maintain sound organizational structure and desirable working relationships

among all the members of SJIBL.

5. To secure the integration of individual or groups within the organization by co-ordination of

the individual and group goals with those of SJIBL.

6. To create facilities and opportunities for individual or group development so as to match it

with the growth of SJIBL.

7. To identify and satisfy individual and group needs by providing adequate and equitable

wages, incentives, employee benefits and social security and measures for challenging work,

prestige, recognition, security, status of SJIBL.

8. To maintain high employees morale and sound human relations by sustaining and improving

the various conditions and facilities of SJIBL.

9. To strengthen and appreciate the human assets continuously by providing training and

development programs of SJIBL.

10. To consider and contribute to the minimization of socio-economic evils such as

unemployment, under-employment, inequalities in the distribution of income and wealth and

to improve the welfare of the society by providing employment opportunities to women and

disadvantaged sections of the society.

11. To provide an opportunity for expression and voice management of SJIBL.

12. To provide fair, acceptable and efficient leadership of SJIBL.

13. To provide facilities and conditions of work and creation of favorable atmosphere for

maintaining stability of employment of SJIBL.

SJIBL’s management has first to communicate the SJIBL’s HRM policies to the employees to

get awareness of the Employees to dedicate their work force towards the realization of the aims

and objectives of the firm. It also has to create conductive environment, provide necessary

prerequisites for the attainment of the personnel management objectives after formulating them.

Human Resource Planning:

The competitive SJIBL organizational strategy as a whole becomes the basis for human resource

(HR) planning. It includes the process of analyzing and identifying the need for and availability

of human resources so that the SJIBL can meet its objectives. So the planning includes the

matter:

Needs of new Human Resources for SJIBL.

Availability of new Human Resources.

HR Planning Process:

SJIBL follows several steps for HR planning. These can be shown through the following flow-

chart and described later on.

Integrate HR Planning with Corporate Planning

Scan External Environment for Changes Affecting Labor Supply

Analyze Internal Inventory of SJIBL’s HR Capabilities

Forecasting HR demand & supply

Forecasting HR Needs

Fig: HR Planning Process

Management Hierarchy of SJIBL:

Chairman Vice Chairman Board of Directors Managing Director Additional Managing Director Deputy Managing Director

Senior Executive Vice President Executive Vice President Senior Vice President Vice President Senior Assistant Vice President Assistant Vice President First Assistant Vice President Junior Assistant Vice President

Senior Executive Officer Executive Officer First Executive Officer Management Trainee Officer Junior Executive Officer Assistant Executive Officer Senior Officer

Trainee Senior Officer Officer Trainee Officer

Top Management

Executive Level

Officer Level

Entry Level

Major Functions of HR Division of SJIBL:

Recruitment & Selection

Joining & Posting

Training and Development

Confirmation

Performance Evaluation

Increment, Promotion & Salary Fixation

Transfer & Posting

Provide intrinsic Employee Benefit

Leave Management

Implementation of Disciplinary Action

Asserting smooth workflow in the organization

Maintaining the daily attendance

Reviewing and proposing the upcoming recruitment need

Creating a good work environment

Maintaining the industrial relation and so on.

Recruitment & Selection:

Recruitment:

Recruitment is the process of discovering, developing, seeking and attracting individuals to fill

actual and/or anticipated job vacancies and has three general purposes:

- to fulfill job vacancies,

- to acquire new skills, and

- to allow organizational growth.

Recruitment Policies:

Classification of the Posts:

The employee of the Bank shall be classified and designated-

1. Any changes, additions, alterations, in the classification and designation shall require

prior approval of the Board.

2. An employee of the Bank, other than Officer appointed to a particular category of posts

shall continue in the same category. Provided that if he/she fulfills such conditions as

may be laid down in this behalf he/she may be appointed to another category of posts by

the competent authority.

Nationality:

No person shall be appointed to any post in the service of the Bank unless he/she is a citizen of

Bangladesh.

Provided that the Competent Authority may in special cases, waive this condition subject to

fulfillment of other conditions regarding employment of foreign nationals in Bangladesh.

Age:

A candidate shall not be less than twenty years and more than thirty years of age at the time of

appointment by direct recruitment as an Officer on probation and not less than eighteen years

and more than thirty years of age at the time of appointment by direct recruitment as an

employee on probation other than an Officer in the service of the Bank.

Physical Fitness:

No person shall be appointed in the service of the Bank unless he is declared physically fit by the

Medical officer of the Bank or any other Medical Authority specified by the Bank in this behalf.

Method of Appointment:

a) Appointment to the post of Officers and other employee shall be made by direct recruitment

as per recruitment policy or by promotion as per promotion criteria.

Provided that where suitable candidates are not available in adequate number for the posts to

be filled by promotion may be filled by direct recruitment.

b) All appointments of Officers and other employees shall be made by the Management under

authority empowered by the Board in this behalf.

Commencement of Service:

The service under the Bank shall commence from the working day on which an employee reports

for duty at the place and time intimated to him by the competent authority if he reports before

noon and from the next working day if he reports in the afternoon.

Agreements:

a) An officer on probation i.e. every employee, appointed at entry level or any of the level

(Where considered by the Management) shall be required to furnish a Surety Bond

executed by him/herself along with two other respectable personalities of means and

standing acceptable to the Bank as Sureties on a non- judicial stamp paper of the requisite

value to the effect that the incumbent will serve the Bank for a minimum period of 5

(five) years failing which he/she shall be bound to refund half of the entire amounts

received by him during the period of his/her service in the Bank on account of salary and

allowances.

b) On entering the service of the Bank, each employee shall sign the Declaration of Fidelity

and Secrecy in the form.

Assignment of Duty:

a) An employee may be assigned such duties as may be determined from time to time.

b) An employee may be required to serve at any place in or out side Bangladesh.

Recruitment Process:

There are two type of sourcing in recruitment process.

1. Internal Sourcing

2. External Sourcing

1. Internal Sourcing:

a. Personal recommendations

b. Notice boards c. Newsletters d. Memorandum 2. External sources:

a. Word of mouthb. Noticesc. Education institutions d. The press or newspapere. Radiof. Televisiong. Employee Reference h. Advertisementi. Internet

Both internal and external sourcing is followed for employee recruitment in SJIBL. The

recruitment process up to the selection can be shown through the following flow-chart:

Figure: Recruitment Process

Manpower Planning

Advertising

Internal Networks & Referrals

Processing of Applications

Feedback

Commencement & Retention

Selection:

Employee Selection is the partner of recruitment and directed to the attainment and

accomplishment of goals. It is the process of putting right person on right job. It is a procedure of

matching organizational requirements with the skills and qualifications of people. Moreover,

organization will face less of absenteeism and employee turnover problems. An effective

selection process decreases the possibility of wasting financial resources in various HR activities

such as repetitive training and documentation. Proper screening of candidates takes place during

selection procedure. All the potential candidates who apply for the given job are tested.

Each organization has a distinctive selection system. The following flow-chart will give us a

clear view of the whole employee selection procedure carried out by SJIBL.

Receipts of Applications against the Post

Sorting out Applications

Preparation of Preliminary Selected List

Holding Written Test

Conducting Interview

Investigation of Previous History as far as Practicable

List of Desirable Candidates

Final Approval by the Competent Authority

Ensuring Physical Fitness

Appointment and Placement

Fig: Selection Procedure of SJIBL

Joining and Posting:

Once the recruitment and selection process is done then the applicants are appointed based on

their job description. After receiving appointment letters, applicants come to accomplish the

further process of joining and posting.

Fresh candidates come for joining, have to first accept the offer letter issued to them by signing

it. After that they have to submit a number of important documents as well as have to fill up and

sign on some important papers as per the requirement of HRD.

For experienced applicants additionally respective release letters have to be submitted.

If any candidate fails to submit any of the required documents then he or she has to provide

necessary undertakings to place those papers before HRD as early as possible.

Eventually at the end of the joining procedure, all necessary documents are reserved and

necessary updates are carried out thereon regarding joining and posting and thus the applicants

become the employees of the organization and finally their postings are executed after getting

approval of Competent Authority on respective posting orders.

So this was a brief discussion of joining and posting procedure, which is entirely presented in the

following flow-chart.

Applicant(s) Comes for Joining

Experienced?

Release Letter Available?

Are All Documents Available?

Taken Undertaking of

Missing Documents?

Document Check

Provide Employee Information Form to Candidates

Ask for Joining Letter

Prepare File & Give Entry in HRIS

Print Necessary Documents & Take Sign from Applicants

Place Office Note & Personal File for Approval

Give Entry in HRIS for Final Posting

Issue Posting Order (Single/Bunch)

NoYes

Not AcceptYes

NoNo

Yes

Yes

# Declaration of Fidelity and Secrecy# Personal Records# Declaration of Nationality/Domicile# Detail of Identity Card # Joining Note# Form of Application to become a member of the Provident Fund# General Conduct & Discipline# Declaration under “General Conduct & Discipline”# Conflict of Interest# Declaration of Assets

Posting Order

Prepare File & Give Entry in HRIS

No

Training:

The Human Resources department of SJIBL assesses the need for the training. For this, several

measures are taken. The department sends out a detailed questionnaire to the managers and their

subordinates to know the areas where training is needed of SJIBL. The department meets with

managers of various departments to help identify those areas. After the assessment of training

needs is complete, the results are tabulated, summarized and shared with stakeholders. For this,

the SJIBL HR department sends out the summary pointer and feedback and an anticipated

training program.

SJIBL has a training center where the new employee and the new matters are learned by

rotations. Each of the employees is taught various matters on products and software and the

marketing process in these training processes.

Generally two types of training are held by the HRD of SJIBL, which are:

1. Foundation Training: Arranged for the probationary officers, on the basis of which

marks, their services are confirmed.

2. Topic-based Training: Sometimes training is arranged on a certain topic for only some

particular employees for whom such training is required.

Both of these types of training can be further categorized in the following two types of training:

a. Internal Training: Arranged by the HRD in the bank’s own training centre.

b. External Training: Circulated and arranged by various external institutions in their

respective premises or outside.

Process Training Management:

Training management is one of the major responsibilities of the HRD. Based on the internal and

external types of training, the procedure of overall training management performed by the HR

division of SJIBL can be presented through the following flow-chart:

Internal Training

Selection of Trainer & Trainee

External Training

Selection of Trainee

Finalize Training Schedule

Taking Approval of Competent Authority


Preparation of Pay Order (If Necessary)

Acknowledge Respective Trainer & Trainee

Collection of Training Result from Training Institute

Preparation of Payment for Trainer

Acknowledge Respective Trainer & Trainee

Arrangement of all Supporting for Training

Providing Completion Letter

Updating Training Marks in Employee Database

Updating Training Marks in Employee Database

Fig: Process of Training Management of SJIBL’s HRD

Foundation & Topic-based Training

Confirmation:

After satisfactory completion of the probation period of one year or six months from the date of

joining, employee’s services are confirmed. After confirmation, the service of the employee shall

be calculated from the date of joining in the post. According to the service rule of SJIBL, this

process of confirmation of services as well as the length of probation period varies regarding two

different types of employees as follows:

1. Fresh Officer:

Unless otherwise specified in the terms of appointment, an officer appointed by direct

recruitment to the post of probationary officer or management Trainee officer or Trainee senior

officer or Trainee officer shall be on probation for a period of one year. Provided that the

competent Authority may for reason to be recorded in writing, extend the period of probation by

such further period or periods on such terms and condition as it may decide.

Here, the confirmation of services is basically granted based on employees’ last performance

appraisal report along with the written test report of Foundation Training Course and the viva-

voce report thereafter.

2. Sub- Staff:

An employee other than officer, appointed by direct recruitment shall be on probation for a

period of six months provided that the competent authority may for reason to be recorded in

writing, extend the period of his probation by an additional period of three months under such

terms and condition as it may decide.

In this case, just after ending of probation period, employees’ services are confirmed.

Besides these two levels, the confirmation appointed under direct recruitment at lateral levels

shall undergo probation period of six months, unless decide by the competent Authority.

Provided that the competent authority may for reason to be recorded in writing, extend the period

of his/her such service by an additional.

In relation to the above discussion, the overall confirmation process can be shown more

apparently through the following flow- chart:

Employee Type?

Fresh Officer

Add the EOL Period to Probation Period

Calculate Confirmation Due

Date

IsFoundation Training

Ok?

IsService Length

1 Year?

Has Any EOL with NCS?

IsQualify for Confirmation?

Ext. of Probation

Period

Form Committee, Fix-up viva date & Time and Take approval from Competent

Authority

Office Note for formation of Committee

Prepare Office Order & Acknowledge to

respective Candidates

Office Order of Confirmation Viva

Arrange Viva1. Attendance Sheet2. Viva Statement

Take Approval of Minutes from

Competent Authority

Minutes of Confirmation

Issue Confirmation Letter to Eligible

Candidate

1. Data Source2. Confirmation Letter

Y

Y

Y

N

Sub- Staff

Security GuardMessenger

Is Service Length 6 Months?

Is Police Verification Available?

Is Any EOL With NCS?

Add the EOL Period To Probation Period

Prepare List of Eligible Candidates

Calculate Confirmation Due Date

N

Not Eligible

N

N

N

N

Update Information into Employee Database

Y

Y

Y

Legends:EOL: Extra Ordinary LeaveNCS: No Counting Service

Prepare List of Eligible Candidates

List of Eligible Candidates

Extension of Probation PeriodN

Y

Annual Confidential Report (ACR):

A system of annual reporting on the performance and conduct of the employees shall be

laid down by the Competent Authority and such report shall be called the Annual

Confidential Report (ACR), and the authority may also call for Special Performance

Reports on any employee as and when considered necessary.

An employee shall not have access to his/her confidential reports but he/she shall be

informed of the adverse report/scoring below qualifying marks, if any, in order to give

him/her an opportunity to explain his/her position or to improve his/her performance or

rectify his/her conduct accordingly.

Calculation of ACR Marks:

The first page of ACR is filled by the individual employee, which includes his/her personal,

academic, professional & training information along with his/her contribution to the bank. The

rest of the pages are filled by the respective supervisor/appraiser (branch/divisional head) of that

employee, where rating points are given by the supervisor based on the employee’s performance.

The following rating points are followed by SJIBL to appraise employees:

Outstanding = 4, Very Good= 3, Good= 2, Average= 1, Below Average= 0

In addition to this, performance summary of the respective employee and recommendation

thereon are also provided by the supervisor. Now after collecting the ACR, it is the duty of HRD

to sum up the rating points given by the appraiser and to tick the appropriate performance rating

box thereon, where for marks of:

85% & above- Outstanding, 75% but below 85%- Very good, 60% but below 75%- Good, 50%

but below 60%- Average and for below 50%- Below average is ticked.

Process of ACR Management:

The following flow-chart will give a brief overview of the process of ACR Management

followed by the HRD of SJIBL.

Fig: Process of ACR Management of SJIBL

Increment:

Regulation of Increment:

An employee on regular scale shall be allowed annual increment by the competent

authority as on the date of anniversary or as determined by the Competent Authority

from time to time unless otherwise barred by any other decision of the Competent

Authority.

The conditions under which service counts for increments in a pay scale are specified as

under:

a) All duty in a post on a pay scale and periods of leave other than extraordinary leave

count for increments in that scale.

Provided that the competent authority may, in any case in which it is satisfied that the

leave was taken on account of illness or for any other cause beyond the employee's

control, direct that the extra-ordinary leave would count for increments.

Giving Reminder to Send ACR

Collection of Branch & Division wise ACR

Calculation of ACR Marks

Updating Marks in Employee Database

b) Service in another post whether in a substantive capacity or on current charge or on

deputation counts for increment in the pay scale applicable to the post on which the

employee holds a lien.

Advance Increment:

Advance increment(s) not exceeding 3 (three) at a time may be granted to an employee

by the Board or any other authority empowered by the Board for outstanding merit and

performance the particulars of which are to be recorded in writing.

Special Remuneration:

An employee may be specially remunerated for rendering arduous and meritorious

service beyond normal call of duty, which is casual and non-recurring in nature by the

Board or any other authority as may be empowered by the Board. In case an employee

is required to work during (closed) holidays, the Board may remunerate him for such

works or any other authority as may be empowered by the Board.

Award:

An award in cash or in kind may be granted to an employee for outstanding academic

and professional achievements by the Board or any other authority empowered by the

Board.

Procedure of Increment Management:

Increment on salary is basically given annually to the confirmed employees based on their year-

end performance appraisal report, where an employee must have to obtain 60 (sixty) marks to be

eligible for getting an increment. There are two cut-out dates in a year for granting increments,

which are: 1st January & 1st July. But the first cut-out date of increment is always fixed in the

favor of employees. Thus for a newly joined experienced employee, the date of increment is

always winded back irrespective of his/her service year is one year or not.

For example: an experienced employee joined on 02.04.2012 will complete his/her one year of

service on 01.04.2013, so in this case if he/she gets increment on the immediate next cut-out date

which is 01.01.2014, then he/she will face a loss of 8 months. Therefore, to protect the employee

from facing such loss, the increment date will be dragged back on 01.01.2013, though only 8

months of his/her service will be completed on that day. Once the first cut-out date is fixed,

increments will be given every year on this date.

A very short and simple process is followed by the HRD for increment management, which can

be shown through the following flow-chart:

Fixation of the Date of Increment

Preparation of Office Note

Approved by Competent Authority

Preparation of Increment Letter

Fig: Procedure of Increment Management of SJIBL

IS ACR Marks At Least 60?

Yes

NoIncrement Postponed to

Next Cut-out Date

Promotion and Salary Fixation:

Promotion Criteria:

Promotion cannot be claimed as a matter of right and all promotions shall be made

on the basis of seniority-cum-merit as per promotion criteria.

Competent authority may give accelerated/out-of-turn promotion to an employee for

his outstanding merit and performance.

Employees promoted to the posts of the same scale on the same date shall rank

according to the date of confirmation in the immediate lower post from which they

were promoted.

For promotion, the following marks distribution is followed:

Annual Confidential Report (ACR) 60Viva-voce 30

Banking Diploma (if any) 5Seniority 5Total 100

Where, the pass marks for both ACR & Viva is 60% and for Total is also 60%. Number

on Banking Diploma is provided proportionately to the part of degree completion. In

case of seniority, 1 number is added for every year’s service and in this way an

employee can get highest 5 numbers.

Promotion Management:

The first duty of the HRD regarding promotion management is to find out the eligible employees

for promotion. From the above flow-chart, it is clearly found that, to be qualified for getting

promotion, employees of different levels must have to fulfill the following eligibility criteria:

For Sub-staffs: Confirmed service of 3 (three) years from the date of joining.

For Officer Level employees ranking from Officers to FAVP: Confirmed service of 2 (two)

years from the confirmation date or in case of experienced employees, from the joining date.

For Executive Level employees ranking AVP and above: Confirmed service of 3 (three)

years from the date of joining.

FAVP (Officer Level) to AVP (Executive Level): To be eligible for being promoted from

Officer Level’s last designation (FAVP) to Executive Level’s first designation (AVP), an

employee additionally must have to qualify in the written exam held by BIBM.

ACR marks: For all the above levels of employees, last year’s Annual Confidential Report is

needed respectively to check out that whether the ACR marks is equal to or more than 60,

because if it is below 60 then the employee will not be treated as eligible for promotion.

As like increment, the same cut-out dates are also followed in case of promotion, which are: 1 st

January & 1st July. Therefore, HRD has to accomplish promotion management two times a year.

In case of employees, unlike increment the promotion date is always postponed to the next cut-

out date. For example: an experienced employee joined in the officer level on 02.04.2011 will

complete his/her two years of service on 01.04.2013 and thus he/she will be eligible for

promotion on the next cut-out date of 01.07.2013. So in case of promotion, the date of being

eligible for promotion is always postponed irrespective of the employee’s service exceeds the

required eligibility period of promotion unlike that in case of increment.

In this way, the date of being qualified for promotion is fixed after every 2 or 3 years from the

cut-out date on which promotion takes effect.

The following flow-chart can be presented to give an idea about the overall tasks of promotion

management of SJIBL, where the tasks of selecting & recommending employees for promotion

is performed by the Selection Committee of the bank.

Preparation of List of Eligible Employees

Fixation of Viva Date & Time & Taking Approval of Competent Authority

Preparation of Office Order & Acknowledge to Respective Employees

Arranging Viva-voce

Taking Approval of Minutes from Competent Authority

Issuance of Promotion Letter

Is Service Length 3 Years?

Is Service

Length 3 Years?

Is Service

Length 3 Years?

Qualified in BIBM’s

Written Exam?

Sub-staff Officer Level Executive Level FAVP to AVP

Is ACR Marks Not Less than 60?

Yes Yes

Yes

YesYes

Is Qualify for Promotion?

Promotion Postponed to Next Cut-out Date

Yes

No

List of Eligible Employees

Office Note

Office Order

1. Attendance Sheet2. Viva Statement

Minutes of Promotion

Promotion Letter

Updating Employee Database

Fig: Promotion Management of SJIBL

Employee Type

Salary Fixation:

The Scale of Pay and other allowances of officers and other employees of the Bank

shall be as determined by the competent authority from time to time. Thus according to

the decision of competent authority the HRD has to fix the pay scale of an employee under

the following circumstances:

Promotion:

The initial pay of an employee promoted from a lower post to a higher post shall be

fixed at the minimum of the scale of the higher post and the pay so fixed shall be his/her

substantive pay according to his appointment.

Provided that, if his/her substantive pay in the lower post is equal to or higher than the

minimum in the scale of the higher post to which he/she is promoted, his/her pay in the

higher post shall be placed in the new scale and adjusted in the new scale by placing his

salary to the starting salary of the new scale or if it is inside the scale, then with one or

less than one next increment of the new scale which is higher than his/her previous pay

in the lower scale/post. Example:

a) If his/her last salary is Tk. 8000 and the new scale is 9000-500X10-14000 than

his salary will be fixed at TK. 9000/-

b) If his/her last salary is TK. 9400 in the last scale, his salary will be fixed at Tk.

9500/- in the new scale and

c) If his/her last salary is Tk. 9000 in the last scale, his salary will be fixed at Tk.

9500/- in the new scale.

An employee appointed on promotion shall begin to draw pay from the date he/she joins

the higher post.

Increment:

After granting increment the pay scale must have to be fixed by adding the increment amount

with the existing salary. In case of more than one increment, the number of increment must be

multiplied with the amount of increment.

Change of Scale:

In case of changing pay scale, the existing salary must be fixed to the new pay scale.

Recruitment of an Experienced Employee:

As like promotion, in case of recruiting an experienced employee from other institution, the pay

scale must be fixed in accordance with the last pay scale he/she used to receiving in that

institution. That means, if the lowest pay scale of the post for which he/she has been recruited is

less than that he/she used to receiving in his/her last job, the pay scale of the concerned post must

be adjusted in response to his/her last pay scale by giving one or more than increments. This is to

be done as because the newly joined experienced employee must be offered higher pay scale

than that he/she received in his/her previous job.

Leave:

As per the service rule, the following kinds of leave may be granted to an employee of

SJIBL:

1. Privilege/ Earned Leave.

2. Extra Ordinary Leave.

3. Quarantine Leave.

4. Maternity Leave.

5. Casual Leave.

6. Sick Leave.

7. Pilgrimage Leave.

1. Privilege/ Earned Leave:

Every employee shall earn Privilege leave on full pay at the rate of one-eleventh of the

period spent on duty, that is one day, for every eleven days of duty and the leave shall

be credited to his leave account and the maximum that can be accumulated shall be 180

(one hundred eighty) days. The extent of leave on full pay that may be taken at a time

shall not exceed 60 Sixty days.

2. Extraordinary Leave:

Extraordinary Leave may be granted without pay to an employee in special

circumstances when no other leave is admissible under these rules. The duration of such

leave shall be so regulated that the amount of total leave including other leave taken in

combination does not exceed the maximum of three years at any one time.

3. Quarantine Leave:

It is a leave of absence from duty necessitated by orders not to attend office on

consequence of the presence of infectious disease in the family or household of an

employee.

4. Maternity Leave:

Maximum 180 days allowed to the confirmed female employees with full pay and only

twice in the entire period of service.

5. Casual Leave:

Casual leave may, subject to the exigencies of service, be granted to an employee or a

probationary officer by the competent authority up to a maximum of 10 (ten) days in a

calendar year, but not for a period exceeding 3(three) days at a time.

6. Sick Leave:

An employee and officers on probation as well will be entitled to sick leave with full

salary and other admissible benefits. Total sick leave allowed to an employee shall not

exceed 15 days in a calendar year.

7. Pilgrimage Leave:

An employee, once in his/her entire career in the Bank will be entitled to 15(fifteen)

days pilgrimage leave to perform the Hajj.

Procedure of granting Leave:The procedures of granting leave of employees can be shown through the following

flow-chart:

Casual Leave Earned Leave Sick / Maternity / Quarantine Leave

& Extra-ordinary Leave

Head Office Employee

Branch Employee

Manager/ DM/Div.

Head/Inch.

Approved by Div. Head/

Incharge

Approved by

Branch Manager

Recommended by Head of HR

Kept Record by

HRD

Kept Record by

Branch


Kept Record by Both HRD &

Branch

Head Office

Employee

Branch Employee

Manager/ DM/Div.

Head/Inch.

Recomm. by Div. Head/

Incharge

Recomm. by

Branch Manager

Recomm. by

Head of HR

Recomm. by

Head of HR

Recomm. by

Head of HR

Approved by

Competent Authority

Approved by

Competent Authority

Approved by

Competent Authority

Kept Record by Both HRD & Branch

Kept Record by

HRD

Kept Record by

Branch

More than 7 Days?

No Yes

Fig: Leave Procedures of SJIBL

Leave Fare Assistance (LFA):

As per Bangladesh Bank’s rule, every employee of an organization must have to avail a

consecutive leave period of 15 days in a year and to spend that leave time smoothly an amount is

given to the confirmed employees after every 1 year starting from their respective confirmation

dates. This process of granting a 15 days leave with a certain amount is known as Leave Fare

Assistance. This LFA amount is actually a cumulative sum of salary of the respective employees,

which is deducted at a certain rate from their salaries on a monthly basis. Again this rate is

determined based on individual employee’s basic pay.

LFA Management Procedure:

LFA management is one of the major responsibilities of the Human Resource Division. The LFA

management of all employees of the head office along with the branch manager/deputy

manager/divisional head/in-charge is performed by the HR personnel, where approvals are taken

from the Head of HR & FAD and from the competent authority respectively. But a slight

difference is found in case of branch employees’ LFA management, that is, in branch the

respective branch managers are responsible for the approval of employees’ LFA. Now the whole

process of LFA management held by the HRD of SJIBL can be shown through the following

flow-chart:

Fig: LFA Management Procedure of SJIBL

Providing Calculation of LFA Amount with Short Note

Application for LFA


Release of LFA

End Service Benefit:

End Service:

The service of an employee of SJIBL can come to an end in four different ways, where

in some cases the employee gets full benefit of end service from the bank or in some

cases gets partial benefit or only own contribution from the bank as per the service rule

of SJIBL. An overview of the rules of ending service of employees and the provisions

of benefits to be granted thereon followed by SJIBL can be presented through the

following discussion.

Modes of End Service:

Generally there are four modes of ending services of employees in SJIBL, which are:

1. Retirement

2. Resignation

3. Termination &

4. Dismissal

1. Retirement:

The retirement of employees of the Bank may be again categorized as under:

A) Normal Retirement: Every employee shall retire from the service of the Bank on

completion of 60 years of age and will be entitled to all end service benefits.

B) Optional Retirement: An employee will have the option to have voluntary

retirement from the service after completion of 25 years of continuous and

satisfactory services with not less than 3 (three) months' prior notice prior his/her

going on such retirement with such benefits as admissible to normal retirement.

C) Compulsory Retirement: An employee compulsorily retired from the service will

be entitled to such retirement benefits.

2. Resignation:

Employees can also discontinue their own services in the Bank by placing Resignation

letters. As per service rule of the Bank the followings are the provisions of resignation

which must be abided by the employees in case of resigning from services.

3. Termination of Service:

The rights of the competent authority of the Bank to remove, dismiss or retire from

service any of its employees as a disciplinary measure or on medical ground and in such

cases is known as Termination of Service.

Both the services of probationary and confirmed officials can be terminated by the

competent authority and shall not be entitled to any form of compensation for

termination of service.

4. Dismissal:

This is one kind of termination of service of the employee by the Bank’s competent

authority, which is actually undertaken as a disciplinary action against the employee

conducted and or attached to any kind of grievance or again whom any legal complaints

are there.

End Service Benefits:

All the confirmed and full time employees of SJIBL shall be entitled to get the

following end service benefits, which will again differ in respect of employees’ service

length or any case of dismissal due to legal complaints.

Provident Fund:

Every confirmed and full time employee who has rendered continuous and satisfactory

service for at least 3 (three) years shall be entitled to Provident Fund as per the Bank’s

rules at the time of retirement/ resignation /termination.

In case of a permanent employee joins a higher post on being selected through

appropriate process by the competent authority, the period of his/her services in the

previous post shall also be counted for the purpose of entitlement of his/her Provident

Fund.

Calculation: The amount of provident fund is deducted from the employee’s basic

every month at a rate of 10%. At the time of retirement/ resignation /termination, the

employee shall be entitled to get the consolidated figure of this monthly deducted

amount, calculated by multiplying the monthly deducted amount with 12 months and

with the number of years the employee served the bank. But only in case of employees

rendered confirmed service continuously for at least 3 (three) years, in addition to this

consolidated amount of employees’ own contribution the Bank itself will also provide

the same amount and lastly on the total of these two amounts profit is counted @ 3%

(deposit rate) and eventually added with that total amount. Thus the final amount of

provident fund is computed. In case of dismissal and in case of service less than 3 years

the employee shall only be entitled to his/her own contribution from the provident fund.

Gratuity:

A confirmed and full time employee who has rendered continuous and satisfactory

service in the Bank may be granted gratuity to him/her on retirement/ resignation/

termination or to his/her legal heirs or to the nominee in absence of legal heirs in the

event of his/her death as per the following:

SI. No. Duration in the service Gratuity amount

1. For completion of 5 (five) years @1 month's basic

2. For completion of 7.5 (seven and a half) years @1.5months'basic

3. For completion of 10 (ten) years and above @2 months' basic

In case of a permanent employee joins a higher post on being selected through

appropriate process by the competent authority, the criteria may be relaxed for 2 (two)

years at each phases object to condition that the incumbent served in the past Banks

minimum for 2 (two) years without break.

The dismissed/removed employee shall not be entitled to any gratuity.

Social Security Fund:

There are specific designation wise slabs as per which the amount of social security

fund is deducted every month from the salary of the employee as well as a specific

amount more than the total of such deducted amount is provided to the employee, which

is also specified designation wise, at the end of the service only if the confirmed and

satisfactory service length of the employee is at least 3 (three) years. Otherwise the

employee shall be entitled to get nothing from the Social Security Fund (SSF). All the

calculation of SSF is performed by FAD and afterwards sent to the HRD.

Earned Leave Encashment Facilities:

Earned leave encashment facilities for a maximum of 180 days shall be allowed to the

employees, as the discretion of the competent authority at the time of his/her

resignation, retirement, termination, discharge, retrenchment and dismissal from the

service of the Bank. While allowing the facilities, the last basic pay, house

allowance/ceiling and medical reimbursement of the employees will be taken into

consideration. The formula of counting earned leave encashment benefit is as follows:

{Basic X (EL/30)} + {House Rent X (EL/30)} + {Medical Allowance X (EL/30)}

Where, EL= Balance of Earned leave at the end of service, which is divided by 30 days.

In addition to the above benefits from Bank, there are some own contributions of the

employee, which he/she must be entitled to get regardless of his/her service length or

any dismissal case.

LFA Due: If any Leave Fare Assistance amount is found due on the date of ending

service then the employee will must be entitled to get that amount irrespective of his/her

service length or any dismissal case.

Day Basis salary: If an employee’s service ended on a fragment of a month then he/she

must be entitled to get the day basis salary for each of the day of a month up to which

he/she rendered services for the Bank.

End Service Benefit Management:

By and large for all types of end services the following workflow is followed by the HR

personnel of SJIBL.

Fig: Process of End Service Benefit Management of SJIBL’s HRD

Letter of End Service

Checking Liability Position

Providing Acceptance Letter to Branch /Division

Collecting Release Letter with Other Required Documents

Application for End Service Benefit

Computation of End Service Benefit

Providing End Service Note

Requesting to Take- Over Liability


Payment by FAD

Is there any Loan in SJIBL?

Yes

No

In order to evaluate the overall Human Resources Practices of Shahjalal Islami Bank Limited, I

will show comparisons on some important HR practices of SJIBL and another private

commercial bank and for the purpose I have chosen Brac Bank Limited.

In Bangladesh, Private Banks are playing an important role. Brac Bank & SJIBL are some of

those companies which are placed in high positions in banking industry. These banks are well

structured and having well organized human resources division. As a result, I have done

comparative analysis to know the lacking & problems of practicing Human Resource Policies in

Shahjalal Islami Bank Limited.

Comparative Analysis

It will help to find out the problem & its expected solution of practicing human resource

policies in SJIBL.

An extensive comparison with a leading private bank of the country will be done to

develop the report more elegantly.

It will help to compare the effectiveness of the recruitment and selection process of

SJIBL in comparison with other banks.

It will help to determine the strengths and weaknesses of recruitment, selection, training,

evaluation and compensation process of SJIBL.

It will help to determine the standards of these processes of SJIBL in comparison with

Brac Bank Limited.

The comparison will take place based on my practical experience gathered during my internship

in the HR division of SJIBL and the data on Brac Bank Limited collected from different reports,

essays and annual report of the Brac Bank Limited.

Effective Sources of Recruitment:

Companies select sources from where they recruit employees for them. The companies always

try to recruit employees from the sources which are effective for their Company.

Shahjalal Islami Bank Ltd. Brac Bank Ltd.

Internal

External

Internal

External

Table: Effective Sources of Recruitment

Findings:

I wanted to know that most effective sources for recruitment for SJIBL & Brac Bank and it is

found that both SJIBL and BBL by and large uses the same sources of recruitment though SJIBL

gives more emphasize on external recruitment.

Interpretation:

From above findings, we have seen that both of the companies think internal sector is mostly

important for the executive level’s position and they collect employee from external sources for

the officer and entry level employee. And they also think if they collect employee form the

internal sources then the recruitment time and the cost will reduce. But comparatively the

tendency of internal recruitment for officer level is less in case of SJIBL than that of Brac

Bank which is minimizing the promotion opportunities of the entry level officers of SJIBL.

Frequency of recruitment:

It is an Important Issue for an organization that how frequently organization recruits employees.

For this comparative study, I also tried to know companies philosophy about frequency of

recruitment.

Table: Frequency of recruitment

Findings:

In Shahjalal Islami Bank, recruitment takes place as & when required; where in Brac Bank out

employees are also recruited in advance.

Interpretation:

From above findings, it is found that SJIBL collects employees as & when required and having

no policy for advance recruitment like that of BBL. Thus SJIBL has no any fixed time for

recruitment but when a new branch is opened it recruits people.

Available sources for External Recruitment:

We have seen that SJIBL & Brac Bank all use External recruitment as their effective source.

They consider following sources of external recruitment.


Walk in

Internet

Employment agency

Newspaper

Walk in

Internet

Campus recruitment

Employment agency

Head hunting

Table: Available source for External Recruitment

Brac Bank Ltd.

Advance Recruit

Shahjalal Islami Bank Ltd.

As & when required

Findings:

It is found that, in SJIBL the sources are available regarding external recruitment are Walk in,

Internet, Employment agency and Newspaper where Brac Bank’s sources of external recruitment

additionally include Campus recruitment & Head hunting and exclude Newspaper.

Interpretation:

From the above findings, it is seen that the SJIBL & Brac Bank are not using same sources for

external recruitment. Brac Bank additionally follows Campus Recruitment & Head hunting

instead of Newspaper, which must be followed by SJIBL also to catch up fresh graduates and the

most suitable person for the job.

Eligibility Criteria to apply for Management Trainee Officer:

Both of the banks require the following eligibility criteria to apply for the post of Management

Trainee Officer.

Finding:

SJIBL wants candidates having at least post graduation degree to apply for all the of their entry

level posts where Brac Bank is encouraging the fresh graduates also to apply for the same level

posts.

Interpretation:

It is found that, Brac Bank also gives opportunity to the fresh graduates in addition to the post

graduates in the posts of entry level where SJIBL requires at least post graduates. Thus unlike

SJIBL Brac Bank is encouraging and assisting the fresh graduates to build-up their banking

experience along with the accomplishment of their post graduation degree. I think this trend must

be followed in SJIBL as well to give a chance of enhancing the banking skill of the young


At least Post Graduation

Brac Bank Ltd.

At least Graduation

generation from just after their graduations, which can also be helpful for lessening

unemployment problem.

Feedback on Recruitment Process:

Companies sometimes take feedback on recruitment process to know that whether they have any

lacking on recruitment process or not.

Table: Feedback on Recruitment Process

Finding:

It can be found from the above table that SJIBL takes feedback from the recruited employees on

the recruitment process to know about whether they are having any lacking on the recruitment

process. But Brac Bank does not take any such feedback from their employees.

Interpretation:

From the above finding it can be understood that SJIBL wants to conduct their recruitment

process more accurately. As a result, they take feedback. But Brac Bank does not take any

feedback. Brac Bank thinks that their recruitment process is appropriate, so they do not need to

take feedback on recruitment process. So in this case SJIBL is following the right strategy, which

helps them to find out the problem of recruitment process so that next time they can conduct the

process more accurately.


Yes

Brac Bank Ltd.

No

Methods Used in Internal Resources:

Both SJIBL& Brac Bank follows internal sourcing. As a result they follow some methods for

sourcing employees internally.

Table: Methods Used for Internal Sourcing of Employees

Finding:

Both SJIBL and Brac Bank used to source their employees through referrals or recommendations

of executives and promoting of existing employees to higher designation. But in case of SJIBL,

promoting of existing employees play a very insignificant role as a method of internal sourcing

as in the officer level, SJIBL prefers external sourcing on promoting present employees. But as

an additional method of internal sourcing, SJIBL follows transfer & posting of employees from

one workstation to another.

Interpretation:

From the above findings, it is found that in case of only referral approach regarding internal

method, both company’s’ policy is almost same. But SJIBL additionally use the method of

transferring employees as internal sourcing, which is very effective both as a disciplinary

measure and as a mean of increasing employee experience where SJIBL gives less emphasis on

promotion as internal sourcing, which may result in job dissatisfaction and thus increasing

number of employee turnover.


Referral

Transfer

Promotion

Referral

Promotion

Selection Process Followed for Evaluation of Potential Employee:

There are many kinds of selection process followed by SJIBL& Brac Bank Ltd.

Table: Selection Process Followed for Evaluation Potential Employee

Finding:

Now all of the companies use most modern selection process for evaluation of potential

employee. Therefore both SJIBL& Brac Bank follow the above modern selection processes for

evaluating their potential employee.

Interpretation:

From above finding, it can be interpreted that both SJIBL & Brac Bank tries to find out the

potential and the right people for their organization and therefore, for getting the best people

among all the candidates, they use all the modern selection tools.

Process of Short listing Candidates:

Here, Companies set some criteria for short listing candidates among a pool of applications and

then listed candidates are called for written tests.


Written test

IQ test

Interview

Group Discussion (GD)

Written test

IQ test

Interview

Group Discussion (GD)


Emphasis on experience

Considering the educational

institutes.

Considering the educational

institutes.

Emphasis on experience

Table: Process of Short listing Candidate

Finding:

Based on some criterion organizations shortlist candidates from a pool of applications received.

In short listing candidates SJIBL firstly emphasizes on experience and after that it considers the

educational institutes of the candidates. On the other hand Brac Bank first considers the

educational institutes of the candidates and then emphasizes on experience.

Interpretation:

Multiple candidates apply against one position so both the bank has to shortlist candidates by

considering some major facts as per their strategies. After short listing, candidates are invited for

written test or future tests according to the policy of the organization.

Sector of Final Decision:

After completing all formalities of selection process which candidates will be finally selected

that decision comes from assessment center in case of SJIBL.

Table: Sector of Final Decision

Finding:

It is found from my observation that, in SJIBL there is a specific Assessment Center for the final

selection of employees, where in Brac Bank, the Line & staff management is responsible for the

final decision regarding selection of employees.

Interpretation:

From the above finding, it is clear that both SJIBL & Brac Bank has different sectors for taking

final decision regarding employee selection. The assessment centre of SJIBL consists of

representatives of all types of management and this assessment centre is responsible for taking


Assessment Center

Brac Bank Ltd.

Line & Staff Management

final decision regarding employee selection. Such assessment center is the best practice for

selecting right employees for the right position.

Regular Review or Audit Followed on Recruitment and Selection Process:

Now, regular review or audit on recruitment and selection process is a modern concept in HRM,

which is widely used in the organizations. I questioned to the respondents of SJIBL& Brac Bank

that the following comparison is showing whether SJIBL & Brac Bank use regular review or

audit or not along with its time of conducting.

Table: Regular Review or Audit Followed on Recruitment and Selection Process

Finding:

I have found that both SJIBL & Brac Bank carries out regular review or audit on recruitment and

selection process and they do it regularly on a yearly basis.

Interpretation:

From above finding it can be said that, though the modern concept of regular review or audit on

recruitment and selection process is not developed everywhere, it is now developing in our

country by the private commercial banks.


Yes (Yearly)

Brac Bank Ltd.

Yes (Yearly)

Other Findings:

SJIBL is Bangladesh’s one of the most successful private banks in Bangladesh. They practice

almost every latest theory of management especially human resource. But I have found some

problematic points regarding their practicing of human resource policies while I was doing

comparative analyses, which are sited below.

SJIBL doesn’t use internal sources to get the qualified employees within short time and

lower cost.

SJIBL has no latest policy about recording and estimating cost per hires.

SJIBL recruits employees on temporary or part time basis but they have no any fixed

time policy to contract with temporary employees.

For evaluating potential employee SJIBL arranges written test, interview IQ test, GD and

role play.

SJIBL emphasizes more in written test and interview regarding selection test but doesn’t

focus significantly on the role play & group discussion.

SJIBL uses online ads and newspaper as medium for recruitment but doesn’t use their

website.

Recommendations:

SJIBL may follow campus recruitment and head hunting in case of external recruitment

thus they can get the best employees from the running talented students.

SJIBL may use their organizational website as their medium of recruitment where

potential candidates can to know about their recruitment and also apply there.

Agency fees, relocation costs, employee referrals should be considered as SJIBL’s cost

per hire for recruitment.

SJIBL should give the opportunity to fresh graduates and young people as well as

experienced people to use their potentials in the growth of the company.

Group interview and sequential interview may introduce in their interview process.

SJIBL should find out the exact reason for not joining after final selection because for

losses of best candidates.

SJIBL should establish detailed recruitment budget by consulting with the departments or

divisions.

SJIBL may include Performance simulation test and psychological test.

SJIBL should always try to develop and update their recruitment and selection process.

Now for analysis SJIBL training and development program, a broad comparison is shown below

with adequate analysis of the collected data about management of SJIBL & Brac bank.

Frequency of training period after selection of field force:

Most of the organization fixes time for training period. But it differs organization to

organization.

Table: Frequency of training period after selection of field force

Finding:

In SJIBL, the training period is for new employees 6 weeks & for experienced employee 2

weeks, where Brac bank training period is 3 weeks.

Implementation:

Brac bank provides 3weeks training for their entry level employees. But SJIBL thinks after

selection that, employees are new and they are unknown about our organization so we should

provide 6 weeks training for the employee. And they train the experienced employee for 2 weeks

for the betterment of the performance.

Need Assessment:

Organizations arrange training for the employees by considering their needs.


For new employees 6weeks

For experienced employee 2 weeks

More than 3weeks

Table: Need Assessment

Finding:

In Shahjalal Islami Bank, employee performance, performance counseling and competency

framework are considered for need counseling. But Brac Bank considers only employee

performance and performance counseling.

Interpretation:

Brac Bank ignores competency frame work, which is a must to know the overall capability of an

employee. But SJIBL thinks that employee performance, performance counseling and

competency framework will be highly helpful to do need assessment.

Reasons for providing training:

Organization provides training to enhance various types of skills of their employees.

Table: Reasons for providing training

Finding:

It is found that, SJIBL provides training to enhance both technical skill and software skill, where

Brac Bank mostly emphasizes only on software skill.


Employee performance

Performance counseling

Competency frame work

Employee performance

Performance counseling


Technical Skill

Software Skill

Software Skill

Interpretation:

SJIBL wants its employees to work through software but using their technical ability, which is

very important for the employee to go with the technology.

Number of Trainers:

The number trainers of SJIBL & Brac Bank are shown below:

Table: Number of Trainers

Finding:

In SJIBL, there are 3 trainers preside training in one Batch. On the other hand, Brac Bank has 4

trainers to preside training in one Batch.

Interpretation:

SJIBL thinks SJIBL must emphasize on hiring more than 3 trainers in one batch like Brac Bank

because trainees will get more benefit if there are more trainers for them.

Types of Training:

Organization provides various types of training and it differs from organization to organization.


3

Brac Bank Ltd.

4


Management Training

Re-training

Team Building Training

Product Knowledge

Selling Skill Training

Customer service

IT Training

Basic Knowledge management

Management Training

Team Building Training

Product Knowledge

Selling Skill Training

Customer service

IT Training

Table: Types of Training

Finding:

From the above table we can see that by and large, both the banks provide same type of training

where Brac Bank additionally provides training on Basic Knowledge Management for the fresh

graduates and SJIBL additionally provides re-training for the employees became unable to

complete or pass the earlier training session.

Interpretation:

Though both the bank provides same training facilities by and large, Brac Bank additionally

emphasizes on Basic Knowledge management of the fresh graduates, which must be followed by

SJIBL after including the fresh graduates in the applicant’s eligibility criterion. This will

undoubtedly help the company to build up the youth of the country as an effective manpower.

Moreover as SJIBL thinks that they have to create a comparative advantage by developing their

human resources, hence with other training facilities it also provides re-training so that even the

weaker employee can become a potential part of the bank.

Techniques of Evaluation after Training:

In case of evaluating the employees’ performance after training the following evaluating

techniques are pursued by SJIBL & Brac Bank.

Table: Techniques of evaluation after Training

Finding:


Observation

Case Study

Observation

Focus Group

Case Study

It is found that, SJIBL uses observation and case study techniques for evaluation of employees

after training. On the contrary, Brac Bank uses both observation and focus group along with case

study.

Interpretation:

Both the bank thinks that they are using most appropriate techniques for evaluating their

employees after training. But I think like Brac Bank, SJIBL must include a focus group where

participants will feel free to talk with other group members about their understandings and

weaknesses.

Types of Incentives offered based on Performance Improvement:

The following table shows the plan of SJIBL & Brac bank regarding incentives for the

employees whose performances become improved after getting training.

Table: Types of incentive offer performance improvement

Finding:


Promotion

Salary increment

Financial Benefits

Promotion

Salary Increment

SJIBL offers those as incentives which are given in the above table. On the other hand, Brac

Bank additionally offers financial benefits along with the above incentives provided by SJIBL to

the out-performed employees after training.

Interpretation:

Both the bank considers employees as their human assets. So after providing training, they want

to offer most lucrative incentives to the employees in the mode of promotion & salary increment.

But like Brac Bank, SJIBL may provide financial benefits also to the out-performed employees

as a mode of reward.

Formal orientation program:

After selecting candidates, organizations sometimes arrange orientation programs for introducing

new employees with the organizational philosophies and policies.

Table: Formal Orientation Program

Finding:

By and large both the organization follows time to time orientation program.

Interpretation:

Both of the Banks think that the time to time orientation is very essential for the employee

because employees are very effective resource for the organization so they have to learn more to

implement the actual performance of the employee. But in some cases, especially in case of

recruiting mid/officer employee from outside such program is not arranged formally by SJIBL.

E-learning:

I tried to find out that SJIBL & BRAC Bank are providing e-learning or not. The results are

given below.


It varies time to time

Brac Bank Ltd.

Yes

Table: E-Learning

Finding:

SJIBL is not found to provide e-learning facility to its employees, where Brac Bank maintains an

e-learning portal to provide CBT (Computer Based Training) through Brac Bank internet. Every

year all regular employees of the bank are required to take part in the e-learning exam and

complete preset e-learning modules declared at the beginning of the year.

Interpretation:

E-learning is a modern method. Therefore like Brac Bank, SJIBL must upgrade their training

process by including e-learning modules to make its human resources more competitive.

Problems of Training and Development of SJIBL:

The important part of this analysis is to analyze its shortcomings. Following analysis conferred

from the study:

Each year a huge amount of money is being spent on training. Sometimes it crosses the

allocated training budgets.

Considering department wise training programs, technical department is neglected.

The training and development process at SJIBL is very well documented but at the same

time it requires much paperwork to do, which is not enough.

This bank trains the employees on the basis of their needs but not to improve their

performance.


No

Brac Bank Ltd.

Yes

SJIBL provides training to increase technical skills by not to increase software skills.

Recommendations:

Shahjalal Islami Bank should have a very structured training and development policy.

They should use extremely sophisticated and smart training materials for training.

They should have different well decorated training rooms in their corporate headquarter

for different levels of employees.

They should have their own training personnel.

Every year they should arrange a very good number of both in-house and external

training programs.

Often they should send their employees overseas for training workshop purposes.

The duration of training period after selection of field force is required to divide between

new employees and experienced employees.

SJIBL is only following need as the basis of training need analysis but they can also

follow employee performance and competency framework.

It is required for SJIBL to find out those employees who have lack of basic skill and poor

performance for training.

SJIBL may follow cross functional training, creativity training for their employers.

In case of on the job management training and development, SJIBL can also follow

development coaching and action learning.

Management games, role playing is also an important off the job management of training

and development, so SJIBL may follow.

SJIBL should believe well motivated, well trained and well mannered workforce is the

most valuable asset for them. Therefore, the training must help to increase efficiencies of

the employees.

Now analysis will go on regarding SJIBL’s performance appraisal process and compensation

package.

Evaluation of Potential Employees:

Most of the companies evaluate their potential employees by using numbers, tools or Five Point

Likert scales like excellent, good, average etc.

Table: Evaluation of Potential Employees

Finding:

From the above table, it is found that both the bank uses the Five Point Likert scale method to

evaluate their potential employees.

Interpretation:

Though overall same rating is followed by both the bank, in case of scaling as good SJIBL

exempts the percentage to 60%, where in Brac Bank 60% means fair or average as per SJIBL. So

at this particular rating point, SJIBL employees are enjoying more appraisal than that of Brac

Bank.

Number of Performance Evaluation Techniques:


Five Point Likert Scale Management by Objective (MBO)

Five Point Likert Scale

Table: Number of Performance Evaluation Techniques

Finding:


5= Outstanding (>85%)

4= Very Good (84%-75%)

3= Good (74%-60%)

2= Average (59%-50%)

1= Below Average (<50%)

5= Excellent (>85%)

4= Very Good (84%-75%)

3= Good (74%-65%)

2= Fair (64%-50%)

1= Poor (<50%)

From the above table we can find that, for appraising employee’s performance, SJIBL only uses

the Five Point Likert Scale method, where Brac Bank is additionally using Management by

Objective (MBO) for evaluating employee performance, where the employees and the superiors

come together to identify common goals, the employees set their goals to be achieved, the

standards to be taken as the criteria for measurement of their performance and contribution and

deciding the course of action to be followed.

Interpretation:

Performance evaluation works like stimulus for employees for providing up to the mark

performance. Ideally, when employees themselves have been involved with the goal setting and

the choosing the course of action to be followed by them, they are more likely to fulfill their

responsibilities. Therefore, SJIBL must include MBO in its performance evaluation technique

along with the earlier one.

Problems of the Practices of Performance Appraisal in SJIBL:

Employees are not being treated or compensated as per their performance.

The bank doesn’t follow standard method to identify the duties, qualities and responsibilities.

The bank doesn’t have the latest computerized database software to keep all the records of

every individual employee.

Recommendations:

The bank should compare all employees’ performance from best to worst.

The bank should have logbook for every individual employees. They should use latest

computerized database software like ERP software to keep all the records of an employee.

The bank should follow a standard method to identify the duties, qualities and

responsibilities.

The bank should use checklist, which helps to decide for promotion of an employees.

The bank should use the most popular method known as management by objectives.

The bank should follow the steps which helps to decide for promotion of an employee such

as-

o Setting performance standard.

o Communicating performance expectations to employees.

o Measuring actual performance with standard.

o Discussing the appraisal results.

o Initiating corrective actions, if necessary.

From the overall description the bank should use standard method and follow the necessary steps

which fulfill every aspects of the Performance Appraisal

Problems of providing compensation Package in SJIBL:

The bank provides the transport facilities only for the MD & AVP. But normal staffs don’t

get any type transportation facilities.

Employees’ basic salary range is lower than the other well structured bank like Brac Bank.

SIBL rarely gives the promotion to the experienced employees.

Turnover of the employees is little bit higher than the other banks.

Retirement policies are not well organized.

Pension schemes are lower than many other reputed banks.

SJIBL doesn’t provided accommodation & daily allowance for the employees.

Recommendations:

SJIBL should provide transportation facilities for its employees.

Wages schemes of the employees should be the analyzed and the basic salary range should

be increased.

This bank should promote the employees as per their performance.

Retirement polices should be well organized and Pension schemes should be increased so

that employees can get a better life after retirement.

SJIBL should try to increase the employee’s morale satisfaction by compensating them

frequently such as giving rewards, achieving external & internal equity on their extraordinary

performances & dedications.

Employee Turnover:

Employee turnover refers to the number or percentage of workers who leave an organization and

are replaced by new employees. Measuring employee turnover can be helpful to employers that

want to examine reasons for turnover or estimate the cost-to-hire for budget purposes. Employee

turnover can be of two types:

Involuntary Turnover:

Employee termination for poor job performance, absenteeism or violation of workplace policies

is called involuntary turnover which is also referred to as termination, firing or discharge. It is

involuntary because it is not the employee's decision to leave the company.

Voluntary Turnover:

When an employee leaves the company of his/her own volition because of a number of reasons,

it is called voluntary termination.

Annual Employee Turnover of SJIBL:

Both voluntary and involuntary turnover takes place in SJIBL. But in comparison to involuntary

turnover, the percentage of voluntary turnover is greater. In most of the cases, the entry level

employees choose voluntary turnover. A table of SJIBL’s last five years’ data on employee

turnover is shown below:

Year Total No. of

Employees

Voluntary

Turnover

Involuntary

Turnover

Total Existing No. of

Employees

2008 1,051 26 5 31 1,020

2009 1,320 14 8 22 1,298

2010 1,675 52 6 58 1,617

2011 1,817 89 3 92 1,725

2012 2,251 60 9 69 2,182

The above table shows that, in last five years SJIBL has to precede insignificant amount of

involuntary turnover. Now the calculation of annual employee turnover rates of last five years is

shown in the next page:

Calculation of Annual Employee Turnover Rate:

Year Total No. of Separations

Divided by

Average Monthly Employment*

Times 100

Equals Annual Turnover Rate

2008 31 ÷ 88 X 100 = 35.2%

2009 22 ÷ 110 X 100 = 20%

2010 58 ÷ 140 X 100 = 41.4%

2011 92 ÷ 151 X 100 = 61%

2012 69 ÷ 188 X 100 = 37%

*Average Monthly Employment= Total no. of Employment at the end of the year ÷ 12

2008 2009 2010 2011 20120.00%

10.00%

20.00%

30.00%

40.00%

50.00%

60.00%

70.00%

35%

20%

41%

61%

37%

Annual Turnover Rate

Year

Fig: Annual Employee Turnover Rate of SJIBL from the year 2008 to 2012

Interpretation:

From the above graph, it can be inferred that the annual employee turnover rate was minimum in

2009 (20%) but maximum in 2011 (61%), in response to the average monthly employment.

Moreover it is found that the employee turnover rate of SJIBL does not follow any trend of

increasing or decreasing rather it is fluctuating from year to year. But the recent turnover rate of

2012 (37%) is showing a radical improvement from that of 2011 (61%) in response to the

average monthly employment, which undoubtedly means increasing job satisfaction of

employees in the very last year.

Calculation of Annual Voluntary Employee Turnover Rate:

Year Total No. of Involuntary Separations

Divided by


Times 100

Equals Annual Voluntary

Turnover Rate2008 26 ÷ 88 X 100 = 30%

2009 14 ÷ 110 X 100 = 13%

2010 52 ÷ 140 X 100 = 37.1%

2011 89 ÷ 151 X 100 = 59%

2012 60 ÷ 188 X 100 = 32%

Calculation of Annual Involuntary Employee Turnover Rate:

Year Total No. of Voluntary

Separations

Divided by


Times 100

Equals Annual Involuntary

Turnover Rate2008 5 ÷ 88 X 100 = 6%

2009 8 ÷ 110 X 100 = 7.3%

2010 6 ÷ 140 X 100 = 4.3%

2011 3 ÷ 151 X 100 = 2%

2012 9 ÷ 188 X 100 = 5%

2008 2009 2010 2011 20120%

10%

20%

30%

40%

50%

60%

30%

13%

37%

59%

32%

6.00% 7.30%4.30% 2.00%

5.00%

Annual Voluntary & Involuntary Employee Turnover Rate

Annual Volun-tary Turnover RateAnnual Involun-tary Turnover Rate

Year

Fig: Annual Voluntary & Involuntary Employee Turnover Rate of SJIBL from the year 2008 to

2012

Interpretation:

From the above graph, it can be perceived that the annual voluntary employee turnover rate is far

much greater than that in case of involuntary turnover. The voluntary employee turnover occurs

mainly due to resigning the present job to go for better opportunity where the involuntary

employee turnover occurs mainly due to normal retirement and in some special cases it can occur

as a part of disciplinary measure or in case of absenteeism or health problem or employee

redundancy.

Thus from the above graph, it can be inferred that employees of SJIBL highly like to choose

voluntary turnover to go for better opportunities, which means lower rate of job satisfaction and

which is found acute in 2011 (59%) and lesser in 2009 (13%) in response to the average monthly

employment. But in the very last year of 2012 (32%), a drastic improvement is detected in the

turnover rate of employees than that of the year 2011 (59%), which is again inferring increasing

rate of job satisfaction.

Causes behind Voluntary Employee Turnover of SJIBL:

As stated earlier, the main cause of employee turnover of SJIBL is job dissatisfaction for which

employees tend to move for better opportunities. Some common reasons relating to job

dissatisfaction which I found from my practical experience during my internship think to be the

causes of voluntary employee turnover of SJIBL.

Unequal or substandard pay structures:

Inequity in pay structures or low pay is a great cause of dissatisfaction of SJIBL employees

and thus drives some employees to quit. Such inequality occurs mostly in case of entry level

and officer level employees because of the substandard pay scale of SJIBL against huge job

responsibilities at these levels.

Lesser chance of advancements & promotion:

Due to the lengthy hierarchy, the chance of promotion of employees becomes less. For that

reason a big gap is found in entry level’s different job positions. An employee entered as

Trainee Officer (TO) has to wait for 10 years to be First Executive Officer (FEO), where an

employee entered as Management Trainee Officer (MTO) can be promoted to the same post

FEO after just one year. Thus after confirmation though being permanent & experienced

employee, an employee entered as TO have to do more work but to receive same

compensation than that of a MTO.

A bad match between the employee's skills and the job:

Employees who are placed in jobs that are too difficult for them or whose skills are

underutilized may become discouraged and quit. Thus inadequate information about skill

requirements that are needed to fill a job results in the hiring of either under skilled or

overqualified workers.

More tasks for less employees:

The employees of SJIBL have to go through tremendous pressure during the working hours

as the number of employees are less than the amount of tasks.

Feelings of not being appreciated:

Since employees generally want to do a good job, it follows that they also want to be

appreciated and recognized for their work. Even the most seasoned employee needs to be

told what he or she is doing right once in a while.

Tedious working procedures:

Because of the use of under developed software, some tedious paper works have to be done

by the SJIBL official most of the time, which puts stress upon both of their body and mind

and thus they feel reluctance to do the job.

Lack of opportunity for growth:

In SJIBL, most of the employees have to work in the same department and the same job year

after year, which prevents them from utilizing their full potential and hinders their growth of

knowledge and experience of working in other departments.

Job Stress:

A single employee of SJIBL has to face much job stress especially for branch employees,

most of the cases the job becomes a dead-end proposition as they always have to face

pressure of reaching higher and higher target of deposits along with fear of being replaced or

not appraised in failing to reach preset target.

Insufficient Working space:

From my practical experience, I found the space of HR division of SJIBL is very insufficient

against the number of employees. Moreover both food and other office equipment facility are

also below the mark which may become the reason of employee dissatisfaction.

Recommendations for Preventing High Voluntary Employee Turnover:

Though the last year 2012 is showing an encouraging reduction in employees’ voluntary

turnover, there is always a chance of the rate of jumping high again as the last five years’

employee turnover rate is found not following a specific trend rather it is fluctuating year by rear.

Again more turnovers refers to more costs of turnover, therefore to avoid such turnover costs the

voluntary turnover of the employees must be minimized after finding out the causes behind

turnover and by taking effective measures thereon like following:

Identification of the positive aspects of the organization that make employees wants to stay

and then giving emphasis on those aspects.

Considering and implementing the internal factors that may influence employees' desire to

stay like- desirable benefits, pleasant working conditions, opportunity for

growth/advancement, pay and job security.

The requirements of a specific job should be carefully studied for the required skills, and

workers should be tested for the requisite qualifications through the use of job

analyses and job descriptions to minimize the chances of happening a bad match between

the employee's skills and the job.

Revising pay structure of both entry level and officer level employees by obtaining

information about what other businesses are paying for similar positions.

Providing employees job perks like flexible hours or better-than-average benefits that are

perceived by them as benefits, which might keep employees in a job that they would

otherwise leave.

Lessening the hierarchical echelons in both entry level and officer level to provide employees

of those levels more chance of advancements and promotions.

Taking attempts to redesign the job as fulfilling, interesting, and rewarding for the

employees.

Maintaining effective wage and job evaluation system to make sure the employees know that

they are appreciated equally.

If the job is going to be basically a dead-end proposition, this should be explained before

hiring so as not to mislead the employee. The job should be described precisely, without

raising false hopes for growth and advancement in the position.

Emphasizing to future employees about a certain position having limited growth potential so

that they know what to expect, or ways to be found to expand the responsibilities of the

position.

There are also outside factors that can influence employee turnover about which much can’t

be done but what can be done is trying to make the job as desirable as possible to minimize

the chance that external factors will lure the staffs away.

Analyzing and altering the work procedures and policies in a way which would enable

employees to use their full potential and even gain significant work experience.

SWOT Analysis of SJIBL’s HRD:

Strengths:

Shahjalal Islami Bank Limited has a large number of employees which is very difficult for

any organization to control but SJIBL is controlling this huge number of workforce with

great distinction.

Well organized team. While they work as a team they are supportive to each other’s which

are very helpful to fulfill their work.

Training opportunity provided to employees working in every level. For better performance

of every employee training is provided.

Well planned training schedule with sufficient time allotment. All the trainings take place as

scheduled before. The time prearranged for each training are also based on the type of the

training so that every necessary point can be covered.

SJIBL’ HRD is effectively stringed with other departments of the Bank. The communication

among each and every department is quite good and all of them have better understanding.

As a result they get effective output.

Possessing strong brand image and thus overall employee job satisfaction remains

satisfactory.

Weaknesses:

The overall situation of Human Resource for a company like Shahjalal Islami Bank

Limited is not that much controlled to be used and utilized it perfectly. Compare to the

workload there is not sufficient amount of refreshments. Too much work pressure on

the employees sometimes makes them depressed towards their work.

Less internal recruitment opportunity, that is causing poor generation of employee

motivation. Thus employees feel reluctant to put their utmost effort to get a higher position.

References from superior levels are also entertained as those CVs are always given priority in

times of recruitment even if the candidate is unfit or unqualified for the vacant post.

The salary structure is not high enough according to the workload of the employee.

This discourages the employees to work hard and also increases turnover rate.

Due to lack of sufficient amount of manpower in HR division it is difficult to control

and maintain the large amount of employees.

Comparatively higher dependence on external recruitment agencies.

Online recruitment system is not upgraded.

Opportunities:

Shahjalal Islami Bank Limited has currently 2,182 employees to work with. This huge

number of workforces helps this bank to get various ideas and plans and increase its

productivity.

The Human Resource Division of SJIBL is always thinking to do something new with their

employees that can help to motivate the employees and can able to make them better

resources/assets for the Shahjalal Islami Bank Limited. Very few Bangladeshi organizations

have this kind of opportunity to be used.

Threats:

Shahjalal Islami Bank Limited has a huge number of employees. So is difficult to maintain

the Human Resource policies with this large number of employees.

The resignation rate is higher than the anticipation of the Bank.

Reference control on policy is common situation of Bangladeshi organization. SJIBL is not

out of it. Reference control on Human Resource policy can be a bad threat for SJIBL.

Recommendations:

In this part of recommendation, some valuable issues of Shahjalal Islami Bank Limited are

discussed. These were the aspects that came out while working as an intern at SJIBL. These were

related to various parts of SJIBL and thus are placed in the list of general recommendation.

According to SWOT analysis some decisions can be taken.

Efficient distribution of the number of employees in required positions.

Making the salary structure attractive to the employee.

Making succession planning.

Reducing the extra workload of the employee.

SJIBL should increase the manpower of HRD especially in recruitment wing.

The Human Resource Division’s control must be structured.

Arranging co-curricular activities for employee’s refreshment.

Managerial control should be implemented perfectly.

CV database must be well maintained. All the CVs must be stored in monthly basis thus

it can be easy to find out the CVs when needed.

Human Resource Information Software (HRIS) must be upgraded to keep the entire track

records of an employee’s service life in SJIBL.

Arranging proper training for the employee.

They should provide that much of information in orientation training that will ensure the

workforce to do their job smoothly.

The training should be motivational.

For better training they can go for professional trainers.

Supplying more training materials during training.

After training, it is very much important to take evaluation about training program. They

should evaluate the trainees properly.

Online recruitment system is not upgraded. They should upgrade it.

Better MIS support is needed for smoother operation.

Conclusion:

The Shahjalal Islami Bank Ltd. has been trying to operate its business successfully in

Bangladesh since 1995. Keeping the network within a reasonable limit, their strategy is to serve

the customers through capacity building across multi delivery channels. They are ensuring better

placed and poised to serve customers through fast changing times and enable them compete more

effectively in the market they operate. During my internship period I got an opportunity to work

in Shahjalal Islami Bank Ltd. under its Human Resource Division of its Head Office and come to

know some important information and documentary evidence, internal records and HR policies

and practices of this bank. I believe this practical experience and gathered information will help

me to build my professional carrier in future. I wish every progressive success of this bank.

Shahjalal Islami Bank Ltd. has already developed an image and goodwill among its clients by

offering its excellent service. This success has resulted from the dedication, commitment and

dynamic leadership of its management over the periods. During the short span of time of its

operation the bank has successfully grabbed a position itself as a progressive and dynamic

financial in the country. If the bank goes this way, it is expected that near future Shahjalal

Islami Bank Ltd. become one of the top performer in this banking sector.

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