Human Resource Management (HRM) involves all management decisions and practices that directly affect or influence the people, or human resources, who work for the organization.
In recent years increased attention has been devoted to how diversified the human resources, how organizations manage those resources and how satisfied they are. This increased attention comes from the realizations that an organization’s employees enable organizations to achieve its goals, and the management of this human resource is critical to an organization’s success.
1.2. Background of the study
The Study is conducted with a view to submit a term paper on the topic as a part of “Diversification of Human Resources in Your Bank: How are they here?”
1.3. Objectives of the study
The objectives of the study are to identify the following fields of HRM:
a. Diversification of human resources.
b. Facilities to different employees
c. Human resource empowerment
d. Recruitment, promotion and training of employees
e. Discrimination to the employees
1.4. Scope of the study
The study was restricted within a single bank with emphasis on plans and practices of human resource diversification.
1.5. Methodology & Sequences
The study followed a certain method to collect data and analyze the Human Resource Management practices of the bank:
a. Overall Approach:
Our analysis is a combination of both current and literature survey.
b. Data Source:
The study worked with both primary and secondary data. Primary data are personnel survey, questioners and interviews and secondary data are literature survey collected from primary data.
c. Data Analysis:
Data collected from the bank were compared with the theoretical part. After comparison a reasonable conclusion is drawn through analysis and evaluation.
d. Report Writing:
The group as assigned with the task to prepare this paper visited SJIBL, collected necessary information through interviews and survey. Finally the paper was prepared after detail analysis of the current position of human resources diversification and relates them with the position should be.
During the study the group faced the following difficulties:
1. Since specific human resource management practices a sensitive issue for the company, it was difficult to extract the expected information and data as per our requirement.
2. Employees are always reluctant to respond to the questionnaires due to their business and other strategic causes.
2. SHORT PROFILE OF THE BANK
Shahjalal Islami Bank (SJIBL) is one of the leading private banks in Bangladesh which is being operated based on Islami shairah. It has 19 branches all over the country.
2.1 Goal & Objectives:
From time immemorial Banks principally did the functions of moneylenders or “Mohajans” but the functions and scope of modern banking are now-a-days very wide and different. They accept deposits and lend money like their ancestors, nevertheless, their role as catalytic agent of economic development encompassing wide range of services is very important. Business commerce and industries in modern times cannot go without banks. There are people interested to abide by the injunctions of religions in all sphere of life including economic activities. Human being is value oriented and social science is not value-neutral. Shahjalal Islami Bank believes in moral and material development simultaneously. “Interest” or “Usury” has not been appreciated and accepted by “the Tawrat” of prophet Moses, “the Bible” of prophet Jesus and “the Quran” of Hazrat Muhammad (sm). Efforts are there to do banking without interest Shahjalal Islami Bank Limited avoids “interest” in all its transactions and provides all available modern banking services to its clients and want to contribute in both moral and material development of human being. No sustainable material well being is possible without spiritual development of mankind. Only material well-being should not be the objective of development. Socio-economic justice and brotherhood can be implemented better in a God-fearing society.
Other objectives of Shahjalal Islami Bank includes:
• To establish interest-free and welfare oriented banking system.
• To help in poverty alleviation and employment generations.
• To contribute in sustainable economic growth.
2.2 Branches of SJIBL
01. Dhaka Main Branch
02. Mitford Branch
03. Dhanmondi Branch
04. Beanibazar Branch
05. Agrabad Branch
06. Sylhet Branch
07. Khatunganj Branch
08. Gulshan Branch
09. Foreign Exchange Branch
11. Kawran Bazar Branch
12. Dargah Gate Branch
13. Uttara Branch
14. Bangshal Branch
15. Baipail Branch
16. Narayangonj Branch
17. Sat Mosjid Road Branch
18. Banani Branch
19. Moulavi Bazar Branch
2.3 Departments of SJIBL
1. Human Resource Department (HRD)
2. Investment Department (INV)
3. Financial administration Department (FAD)
4. International Department (ID)
5. IT & Card Department
6. Audit & Compliance Department
7. Sharia Department
8. Board Secretariat
9. Marketing Department
10. Assets Management Department (AMD)
11. Common Services Department (CSD)
12. Public Relation Department (PRD)
2.4 Job Levels and Designations
1) Managing Director (MD)
2) Deputy Managing Director (DMD)
3) Senior Executive Vice President (SEVP)
4) Executive Vice President (EVP)
5) Senior Vice President (SVP)
6) Vice President (VP)
7) Senior Assistant Vice President (SAVP)
8) Assistant Vice President (AVP)
9) First Assistant Vice President (FAVP)
10) Junior Vice President (JVP)
11) Senior Executive Officer (SEO)
12) Executive Officer (EO)
13) First Executive Officer (FEO)
14) Management Trainee Officer (MTO)
15) Junior Executive Officer (JEO)
16) Assistant Executive Officer (AEO)
17) Trainee Senior Officer (TSO)
18) Trainee Officer (TO)
19) Trainee Assistant Officer (TAO)
3. ANALYSIS OF THE RESULT FROM THE SURVEY
A) BANK GENERAL INFORMATION
1. Total number of employee in the bank is 473. This data is till 31.07.2007. Among them only 42 males are on top level and only two female on the top level. In the mid level Male are 323 and the female are 39. At the bottom level Male are 67 and Female employment is zero. So, we found serious discrimination here.
Gender Number of Employees in each Management
Top Middle Lower
Male 42 95.45% 323 89.22% 67 100%
Female 2 4.54% 39 10.77% 0 –
2. In the bank, there is no disabled employee. So it can be said this percent is zero. This is also true in the case of tribal people. In the case of non-Muslim only one employee is working at the lower level.
Number In each Management Level
Top Middle Lower
Disable 0 0 0
Non Muslim 0 0 1
Tribal 0 0 0
B) EMPLOYEE GENERAL INFORMATION
1. What type of recruitment in different level does your bank prefer?
Last year, Bank recruited 120 fresh graduate and 160 experienced employees in the junior level. The ratio is Fresh: Experienced =4:5.
In the Mid and Top level Bank usually does not give preference for external search and now 193 employees have been working in the mid & top levels who have been appointed through internal promotion.
In Junior Level In Mid and Top Level
Experienced Fresh Graduates External Search Internal Search
160 120 0 193
2. Nature of employees Appointment in the bank
Four hundred and seventy one employees are working as permanent basis. There are also one temporary and one contractual employee.
Types Number of Employees
3. Does the bank provide any special facilities for contractual employees?
From our finding we see that there is no special facility for contractual employees.
4. What usually is the basis of promotion in the bank?
According to HR, the basis of promotion in the bank is performance. Normally, a promotion becomes due within two years. But we got mix responses from the responders (i.e., employees). Their views are different. These are given below:
Qualification (education, experience) 11 37.93
Seniority 4 13.80
Performance 14 48.27
5. The training and development services SJIBL provide per year
At the time of entry, every employee has to participate on the following training programs.
1. General Banking
2. Foreign Exchange
These are on the job trainings. In addition to this, every year bank organizes several training programs like SME, Debit Cards etc. on need basis.
Last year, on the job 20 employees and off the job, in land 35 employees and in abroad 05 employees were given training.
6. How long do employees work?
Office hour is usually 8 hours. It starts at 9:00 AM to ends at 5:00 PM officially. But in reality, employees have to work more than 10 hours.
Here, we got some contradictory responses. According to HRD, standard of transport and leave package are good and excellent respectively, but maximum responders say that these are poor and average respectively.
In Shahjalal Islami Bank, there is no canteen, but dining room is there. That is why, contradictory result has come. Normally, there is no sports program. But at picnic there arrange sports program.
3. In case of death of any employee during service, what type of facilities does the Bank provide?
The bank provides the following facilities if any employee dies during service period.
a) End service benefit
b) Social welfare fund
D) EMPLOYEE EMPOWERMENT
Most of the employees of the bank agreed with the points stated below.
Your Bank arranges meeting among different levels of management (top, middle & lower) on regular basis 23.80 42.86 23.80 9.52 – Mod. Agree
Sometimes you consult with high management or experienced people about a specific problem and vice versa 9.52 28.57 57.14 – 4.76 Agree
During a change in some relevant area, you know about it earlier so that you can get prepared 5.26 21.05 52.63 15.79 5.26 Agree
You yourself can take decision what do on your relevant area 5.00 10.00 45.00 30.00 10.00 Agree
E) FEMALE EMPLOYEES ONLY
Regarding the following questions, every responder gave the same answer. These are given with the questions.
1. Does your Bank provide maternity Leave? Yes
2. Duration of maternity leave: 3 Months
3. Payment System while employee is in maternity leave- with salary
4. Does the Bank have any Day Care Center-No
5. Does the Bank has any common room especially for the female employees?-No
6. Is there any discrimination between female & male employees in the following cases?
There is not discrimination between male and female employees. But in the last year, female employees got the preference in selecting job location. They have been given posting possible nearest location to their home.
Cases Yes No
In making decisions √
In taking initiatives √
Others (please mention) Nil
F) DISABLE/DIFFERENTLY ABLE PERSON (DAP) ONLY
Since there is no disabled or differently able person, no specific data is found. But according to the HRD, if the Bank recruit disable person, bank will decide the special facilities and nature of work for them depending on their disability.
G) NON-MUSLIM/ TRIBAL EMPLOYEES ONLY
In this bank every employee gets the same facilities. There is no extra facility for non-Muslim or tribal employees. They get same amount of allowances and leave for their festivals as Muslims get but at the time of their festivals. There is not prayer room for non-Muslims or tribal employees as there is only one non-Muslim employee.
H) VALUABLE RECOMMENDATIONS OF THE EMPLOYEES
Most of the employees we surveyed provided their recommendation verbally. They felt hesitated to write in the paper. According to them, recommendations are:
1. Most of the employees in the low level are not fully satisfied with salary. They believe that there is huge gap between the salaries of high level and lower level employees.
2. Same is true for transportation. They strongly recommended for transportation. Only top level employees can avail the transport facilities.
3. There should have provision for paternal leave
4. They common room for the female employees.
5. It is nice to have periodical cultural program
6. There should have day car centre and children education.
Whenever we requested any employee of the bank to respond the survey, they became alarmed that whether we (surveyors) were spy of higher management. They were very cautious to provide the information, to make any recommendation or even to talk freely. It created small barrier in our survey.
J) FUTURE RECOMMENDATIONS
We are fully agreed with the recommendations made by the employees which are very important for any organization for smooth operation. We hope that bank will take care of those.
We want to highlight one small thing that employee felt hesitated to provide information or talk freely as they had fear that the surveyor might be the spy of higher management. It may be small thing but its might have significant implication in future. Working environment should be free, frank and friendly. In our opinion, there should not be any bossy attitude or internal politics.
We hope Shahjalal Islami Bank will flourish day by day.
Best of luck Shahjalal Islami Bank Limited.