Human Resource Management

HRM Practice in Bangladesh

HRM Practice in Bangladesh


This report is prepared as a requirement of the course “Human resource Practice in Bangladesh”  We selected Square Textiles Ltd. Working on this organization we came to know various Kind of HRM practice which are use here. Though it is a textile, it has proved itself in the related industry as a major competitor. In this report we have followed the guidelines provided by the teacher. Here we have tasked not only the HRM practice but also the marketing, management, finance and operational area of the Company.

 What is Human Resource Management

The term human resource management (HRM) has relatively adopted in business organizations in place of personnel management. HRM can be defined as” the management of activities under taken to attract, develop, motivate, and maintain high performing workforce with in the organization”  HRM involves following characteristics. First, it focuses on horizontal authority and reduced hierarchy. The second characteristic is that the role of human resource professionals is to support and facilitate line managers who have the direct responsibility of managing personnel. Thirdly, HRM is proactive and fused with corporate level planning. The fourth characteristic is that employees are seen as subjects who have potential to develop and grow. The purpose of HRM is to specify employee’s potential and develop it in line with the needs of the organization.

Finally, HRM holds the view that the management and non-management have a common interest in the success of the organization (Krulis cited in Goss, 1994).The development of HRM in the 1980s is reflective of an increased realization of the importance of human element in organizations. Goss (1994) stated that the evolution of HRM could be linked to socio-economic factors such as changes in international competition, restructuring of industrial sectors and organizations, and changes in the concept of managerial. According to Goss (1994), during the1970s and the early 1980s the US and the UK industries became incompetent at international markets because of increasing domination of Japanese manufacturers.

Therefore, Western managers began to analyze the Japanese industry and concluded that Japanese organizations value people as the key asset of business. In short, this conclusion opened the way for the development of HRM.

Human Resource Management Today and The Scope of HRM

Poole (1990) started that today’s HRM could be described as broad and strategic, involving all managerial personnel, valuing employees as important assets of organizations, and being proactive in its responsibilities. Moreover, today human resource functions refer to those tasks and duties performed in both large and small organizations to coordinate human resources (Byars & Rue, 1991). These functions of human resource management activities can be listed as follows:

  • To ensure that the organization apply equal employment opportunities and other government obligations.
  • To conduct job analysis to specify different requirements of jobs in an organization.
  • To identify personnel requirements that led the organization to achieve its objectives.
  • To develop and implement a plan that meet personnel and job requirements.
  • To recruit employees needed by the organization in order to achieve its objectives.
  • To select personnel in order to fill vacant positions within an organization.
  • To provide orientation and training to the employees.
  • To design and implement management and organizational development programs.
  • To design and implement performance appraisal systems to evaluate employee performance.
  • To assist employees in developing career plans.
  • To design and implement compensation systems for employees.
  • To mediate the relationship between organizations and its units.
  • To design systems for discipline and grievance handling.
  • To develop employee communication systems.
  • To develop employee health and safety programs
  • The present study aim to cover all of the HRM activities mentioned above.

Background of the Square Textiles Ltd.

Square Textiles Ltd. started its journey by establishing the first unit in 1997. One year later the second unit was established. Square Textile is a subsidiary company of Square Group .The Company was incorporated as a public limited company in the year of 1994. The operation was started in 1997.It was enlisted in Dhaka Stock Exchange & Chittagong Stock Exchange in 2002. Within a very short time of span the company achieved some significance success. Square Textile receives Oeko-Tex standard 100 and ISO-9002 certificates in the year 2000. Authorized capital of the company is tk. 1000 million. It’s paid- up capital is tk. 251.90 million. 1,223 employees are working in this organization. The business lines of  Square Textiles Limited are manufacturing and marketing of yarn. The factory is located in Saradaganj, Kashimpur, Gazipur, Bangladesh. Its office is located at Uttara in Dhaka.


To provide Company overview:

  • To provide market overview and analysis
  • To reveal operational, management and HRM planning.
  • Discuss all HRM practice

The company sets the following objectives for it to achieve:

  • To strive hard to optimize profit through conduction of transparent business operations within the legal and social framework with malice to none and justice for all
  • To create more jobs with minimum investments
  •  To be competitive in the internal as well as external markets
  • To maximize export earning with minimum imported in-puts
  • To reduce the income gap between top and bottom categories of

Limitations and Suggestions

The present study is expected to contribute to the literature since it provides a basis to compare HRM practices in Bangladesh against those in other countries. However, there are several limitations/drawbacks of the study that needs to be mentioned. One of these drawbacks is that the number of organizations participated in the research was 200, so the size of the sample was not large enough to be a good representative of the population of interest (i.e., all private sector organizations in Bangladesh). Yet, it is a consolation that the sample of the present study included organizations from a wide range of sectors. Secondly, the data were collected via questionnaires answered by HR professionals working in organizations. These individuals may have a tendency to answer the questions in a more positive way. Thus, there is a probability of social desirability problem in the given answers. Thirdly, most of the organizations in the sample were large- or medium-sized organizations. Thus, the results of the study may not generalize to HRM practices install-sized organizations in Bangladesh. Fourthly, in this study HRM practices in different countries were examined by reviewing the related literature. However, it would be a much better strategy to conduct a cross-cultural comparison study, using the same data collection instrument across different countries and collecting data from organizations that are similar teach other in terms of size, sector, etc. Lastly, the present study solely focused on the current practices of HRM in the surveyed organizations but it is also important to assess the influences of HRM practices on business performance. The issue of effects of HRM on business performance of organizations was beyond the aim of this Report yet it may be an important point to consider in future research.

HRM Practice in BD through Square Textile. LTD.

Human resource planning:

Square has a personal and administrative Department. Square is one of the biggest employers in Bangladesh. The total number of employers in Bangladesh. The total number of employees is 1,223. For the employees there are systematic in house training in home and abroad. To motivate the employees, along with salary and benefits the company provides various facilities like free meals , free transportation , 24 hour medical center , on site sports . A production and accommodation facility includes full time supply of safe drinking water, adequate lighting and ventilation facilities from sheet.

HR Practices of SQUARE textile:

  • Recruitment
  • Training
  • Performance Management
  • Labor relation
  • Employee relation
  • Job analysis
  • Job design
  • Selection
  • Development
  • Incentives
  • Benefits

Recruitment and Selection process in SQUARE:

Recruitment is the process trough which the organization seeks applicants for potential employment. Selection refers to the process by which it attempts to identify applicants with the necessary knowledge, skills, abilities and other characteristics that will help the company achieve its goals, companies engaging in different strategies need different types and numbers of employees. The strategy a company is pursuing will have a direct impact on the types of employees that it seeks to recruit and selection.

Source of recruitment:

There are two kinds of source SQUARE uses for recruitment. They are-

1. External source

2. Internal source.

We try to discuss all relative sources which are used for recruitment in


Internal source:

SQUARE thinks that current employees are a major source of recruits for all but entry-level positions. Whether for promotions or for ‘Lateral’ job transfers, internal candidates already know the informal organization and have detailed information about its formal policies and procedures. Promotions and transfer are typically decided by operating managers with little involvement by HR department.

Job-posting programs:

HR departments become involved when internal job openings are publicized to employees through job positioning programs, which informs employees about opening and required qualifications and invite qualify employees to apply. The notices usually are posted on company bulletin boards or are placed in the company newspaper. Qualification and other facts typically are drawn from the job analysis information.

The purpose of job posting is to encourage employees to seek promotion and transfers the help the HR department fill internal opening and meet employee’s personal objectives. Not all jobs openings are posted .Besides entry level positions, senior management and top stuff positions may be filled by merit or with external recruiting. Job posting is most common for lower level clerical, technical and supervisory positions.

Departing Employees:

An often overlooked source of recruiters consists of departing employees. Many employees leave because they can no longer work the traditional 40 hours work week .School, child care needs and other commitments are

The common reason. Some might gladly stay if they could rearrange their hours of work or their responsibilities .Instead, they quit when a transfer to a part-time job may retain their valuable skill and training. Even if part- time work is not a solution, a temporary leave of absence may satisfy the employee and some future recruiting need of the employer.

External source:

When job opening cannot be filled internally, the HR department of SQUARE must look outside the organization for applicants. We discuss all the external source of recruitment at bellow:

Walk-ins and Write-ins:

Walk-ins are some seekers who arrived at the HR department of SQUARE in search of a job; Write-ins are those who send a written enquire .both groups normally are ask to complete and application blank to determine their interest and abilities. Usable application is kept in an active file until a suitable opening occurs or until an application is too old to be considered valid, usually six months.

Employee referrals:

Employees may refer job seekers to the HR department .Employee referrals have several advantages .Employees with hard –to –find job skill may no others who do the same work.

Employee’s referrals are excellent and legal recruitment technique, but they tend to maintain the status quo of the work force in term of raise, religions, sex and other characteristics, possibly leading to charges of discrimination.


Want ads describe the job and the benefits, identify the employer, and tell those who are interested how to apply .They are most familiar form of employment advertising .for highly specialist requites, ads may be placed in professional journal or out of town newspaper in areas with high concentration of the desired skills.

General Manager- production:

  • Age: 28-35 years; Graduate with specialization in garment mfg

technology from NIFT or equiv.

Minimum 10 years experience in similar position of a unit with a

minimum of m1000machines.

  • Must have detailed hands on knowledge of industrial engineering.

We offer competitive salary which is commensurate with experience and


  • If you aspire to an exiting and rewarding career , send your detailed resume, quoting your present and expected salaries to jobs

Now today no body thinks anything without internet. So SQUARE give their advertise at internet.


Recommendations: From the analysis with the organization

Structure we have seen that its span of super vision is too large. A number of departments report directly to the general manager. If the number were less the efficiency and productivity of the organization might be increased. Quality control department should remain prompt always.
So that it can maintain a certain level of standard as per the market demand to capture the foreign market share it should strive more.


The flourishment of any industry requires combined efforts and co-operation from several parties.  Social, political and macro economic environment play pivotal role in this regard. Though Square Textile is a newly Ventured Company in the respective sector, its growth and expansion is praiseworthy. It’s contributing the country and serving the nation in different ways. If it can up hold its much toward advancement, it will be able to set a role model in our country.

Web Address…/SquareTextiles.htm

Human resource management