Title Page

Human Resources Management Practice:

Study of South East Bank Ltd.
Chittagong.

[This Internship report is submitted for the Partial fulfillment of the

Degree Bachelor of Business Administration with a
Minor in HRM]

Prepared By:
Name: xyzxyzxyz
ID No: 0251245412
Program: BBA
Semester: Spring May, 2010.

Supervised By:
Name: Dr. Md. Ayub Islam
Designation: Professor of Accounting.

Internship Duration: 3months

Date of submission: 28 may, 2010

----------------------------------
Signature of Supervisor
Logo of IUB

Department of Business Administration

Faculty of Business Studies
Independent University, Bangladesh, Chittagong.

1
 Acknowledgement

First of all I would like to express my deepest gratitude to the Almighty ALLAH for giving me the ability
and the strength to finish the task successfully within the scheduled time.
I would then like to express my heartiest gratitude to my supervisor Dr. M. Ayub Islam, lecturer of School
of Business, Independent University, Bangladesh Chittagong Campus for her valuable guidance, support,
co-operation, encouragement and advice through out the preparation of the report. His valuable suggestions
and strict guidance made the preparation of this well organized report. My heartiest gratitude also goes to
Mr. Guitar.K.Kanungo, Senior Executive Vice President, Southeast Bank Ltd and Manager Momin Road
Branch and Mr. Showkatul Islam Chowdhury, Senior officer of - HR Section for his willful and heartiest
co-operation and giving me the inspiration and suggestion to complete the whole report in a constructive
fashion.
My endless thanks goes to Mr. Chowdhury Mohiuddin, Mr. Arunangshu Bikesh Sarker, Mr. Jafar Ahmed,
Mrs. Bibi Fatema, Mr. Taher Hossain Siddiki, Mrs. Abida Mustari, Mr. Mansur Alam, Mr. Biswajit
Debnath, who have given me their precious time to explain different issues and topics of Southeast Bank
Ltd, the strategies of the bank and guided me through out the internship period.
Finally, I would like to express my foremost gratitude to all the officers and employees of Southeast Bank
Limited, Momin Road Branch for supporting me and giving me pleasurable working experience and for
providing me with most relevant information on the basis of which I have prepared the report.

2
 Letter of Transmittal

April 28, 2010

To
Dr. M. Ayub Islam (Professor of Accounting)
Lecturer and Internship Supervisor
School of Business
Independent University, Bangladesh
Chittagong Campus.
Subject: Prayer for acceptance of the Internship Report

Dear Sir,
With due respect, I would like to state that I am Nusrat Rahman Chowdhury, student of school of business
bearing ID 0511019. My major concentration is Accounting and minor concentration is Human Resource
Management. I have completed my internship this semester in the Southeast Bank Ltd (Momin Road
Branch). In my internship report, I have covered the topic Human Resource Practice; in the field of
Recruitment, Motivation, Training and Development, Compensation and allowances by focusing the
scenario of Southeast Bank Ltd.
So, it is a great pleasure for me to submit my internship report to you titling A Comparative Study of
HRM Practice of Southeast Bank Ltd as a course requirement of BBA 499 program. While working as an
intern I gathered a lot of knowledge on the banking sector of our country and I have tried my level best to
reflect it in my report.
I would there be very much glad and thankful to you if u kindly accept the report and oblige there by.
Sincerely Yours,

Flkjfd lkajfda
Fafd
Asfdas
fsa

3
 PREFACE
Practical knowledge is a vital element of our BBA program. If the theoretical knowledge is not supported
by the practical knowledge the knowledge gathered by the theoretical education will remind in complete.
Scholars also suggest that practical experience is more effective than theoretical knowledge.

The development of business accurse on the basis of meets of human beings. Accessing wants and needs of
human beings and concerned people of business, firms take the opportunities to gain profit and develop
business. Banking is the invention of social scientist for the welfare of human beings. It is concerned that
the current student of business administration are the future executives or authorities of various
organization.

As a student of Business Administration, I undertook my internship program on the A study of Human

Resources Management Practice: Recruitment, Training and Development and Motivation Process on
SOUTHEAST Bank. During my internship program I have tried my best to collect the information related
to my study topic and prepare the report with in a very short time. That is why, there are may have some
unexpected mistake in the report. I regret for any mistake in this report.

May 2010 (Nusrat Rahman Chowdhury)

4
Executive Summary

South East Bank Ltd started its commercial operation as a private sector bank on May 25, 1995. As a
private commercial bank it contributes a lot in our economy. From the beginning still now the performance
of this bank is developing rapidly. The main sources that work behind such development are the efficient
and effective human resources of the bank. It is also true that such performance from the employees were
not possible to achieve without the involvement and interest of the management. At South East Bank
employees' enjoy a better quality of work life, which encourage them to contribute more and develop the
performance of the bank day-by-day.

Though there are some limitations but it was found that the factors that affect the quality of work life of a
company are almost positive at South East Bank. In this organization employees get opportunity to utilize
their skills and knowledge. They also get adequate training facility from the organization that helps them to
develop their career. The bank always tries to select the right person for the right job. They select and
promote employees based on their merit. Employees enjoy freedom in work and they found their job
interesting as there exists less job stress.

At South East Bank employee turnover rate is 8% per year on an average. Here the relationship between
employees and the supervisor is quite well. Supervisor always gives equal opportunity to all the employees.
They are honest and open minded to provide information about any change and they always communicate
with the employees when any conflict arises in the organization. Moreover employees get their leader
whenever needed. Management at South East Bank always treats employees with respect and dignity. They
give freedom to the employee to do quality work. Like supervisor, relationship of employees with the work
group is also better at South East Bank. Employees always work as a team. They always share work with
each other and help themselves to get the work done. Physical working condition of South East Bank is
also satisfactory. At South East Bank employees are satisfied with their pay scale and benefit program.
Different reward and increment policy of the bank encourage them to work hard for the organization.

All these lead them to feel proud for their job and this satisfaction also helps them to increase their
performance. This has ultimately helped the management of the organization to achieve positive and
upward performance day by day.

5
Date: may 28, 2010

ACCEPTANCE LETTER
This is to certify that, the internship report on Human Resource Practice: Recruitment, Motivation
and Training & Development Process a on South East Bank ltd is prepared by Nusrat Rahman
Chowdhury, a student of BBA, ID No.0511019, under my supervision and guidance. I have gone through
the report. In preparing the report, she has spared much time and effort. Her desire over seeking strength of
every aspect is very much satisfactory.

I wish her success at every sphere of his life.

_______________________
(Dr. M. Ayub Islam)
Professor of Accounting.
Department of Business Administration.
Independent University, Bangladesh, Chittagong.

6
1.0 Introduction
Abstract
Introduction of the study
Origin of the Report
Background of the study
Objective of the study
Scope of the Study
Methodology
Limitations of the study

7
1.0 Abstract:
When a company is successfully doing business there is couple of factors working behind it they
are- efficient management, healthy source of fund and using of fund and last but not the least
efficient employees. Basically these employees are known as Human Resources. So generally
the division which deals with them is to be called as Human Resource Department. That is why
we can say HR Department is directly contributing to the companys performance.

Human Resource Department is one of the most important divisions of any companies now days.
A companys full employee structure depends on this department. The Human Resource
Department (HRM) function includes a variety of activities, and key among then is deciding what
staffing needs you have and whether to use independent contractors or hire employees to fill
these needs, recruiting and training the best employees, ensuring they are high performers,
dealing with performance issues, and ensuring your personnel and management practices
conform to various regulations. Activities also include managing your approach to employee
benefits and compensation, employee records and personnel policies.

The HRM function and HRD profession have undergone tremendous change over the past 20-30
years. Many years ago, large organizations looked to the Personnel Department, mostly to
manage the paperwork around hiring and paying people. More recently, organizations consider
the HR Department as playing a major role in staffing, training and helping to manage people so
that people and the organization are performing at maximum capability in a highly fulfilling
manner.

1.1 Introduction:
The Banking Industry in Bangladesh is characterized by strict regulations and monitoring from the
central governing body, the Bangladesh Bank. The main concern is that currently there are many
banks for the market to sustain. As a result, the market will only accommodate those banks that
can transpire the most competitive and profitable in the future. Currently the major financial
institutions under the banking system include:
Bangladesh Bank
Private Commercial Banks
State Owned commercials Bank
Islamic banks
Non-bank financial Institutions, etc.

8
 Scheduled Banks in Bangladesh

FCB
20% FCB
NCB NCB
8% Islamic
PCB
54% Islamic Specialized
8% PCB
Specialized
10%

FIGURE: 1
Private Banks play a great role in economy development of a country. Human Resource
Management (HRM) has become an important issue in the socio economic arena of Bangladesh.
Both public and Private sector enterprises of this country are taking various measures for the
HRM. An identification of factors that influence HRM professionals and policy makers in
assessing training needs of employees, in selecting appropriate trainers, and in undertaking
additional tasks for making HR activities more effective, is inevitable in this respect. Considering
this importance the present study was undertaken on a selected organization.
Moreover, Bangladesh is a large populous country with the opportunity of having sufficient
manpower. If we properly utilize our human resource in productive way, the day will not far away
to be a developed country. In this regards HR management can play a pragmatic precautionary
role for making the people of the country skilled. The main object of HR management is to
develop skill and to grow confidence of doing work. HR management says. We usually make an
unskilled man to a skilled worker.
Southeast Bank gives their employees better opportunity to utilize their skills and knowledge.
They also get adequate training facility from the organization thats helps to develop their carrier.
The bank always tries to select the right person for the right job. The human resource department
manages recruitment, training and progression plan. Southeast bank highlights the importance of
developing its people to create a culture of customer service, innovation, teamwork and
professional excellence. They select and promote employees based on their merit. The
relationship between employees and the supervisor is quite well.

1.2 Origin of the report:

Internship is an imperative part of BBA course. It is considered as an interface between academic
knowledge and practical field. This report is prepared as a requirement for the completion of the
BBA program of Independent University. The primary goal of the internship curriculum is to
provide an on the job exposure to the student and an opportunity for translation of theoretical
conceptions in real life situation. Students are placed in enterprises, organizations, research

9
institutions as well as development projects. The program covers an overall period of
approximate 12 weeks of organizational attachments, with report finalization work.
Internship experience gives professional experience and practical orientation to students in the
professional arena. In that regards, I, Nusrat Rahman Chowdhury was placed at South East Bank
Limited (SEBL) for the internship program under the guidance of my faculty advisor Dr. M. Ayub
Islam. The duration of my organizational attachment is, by policy: Twelve Weeks, started from 6 th
January, 2010. As a requirement for the completion of the program I am required to submit this
report, which would include an overview of the organization and elaboration of the project I was
supposed to conduct during the internship period.
The proposed topic of this internship report is Practice of HR in SEBL-Recruitment,
Motivation and Training & Development

1.4 Objectives of the report:

The objectives of this report are as follows:
To be familiar with the different roles of the HR department.
To be familiar with the recruitment and selection process.
To know about the training program which they arrange for their employees.
To know the promotion procedure of SBL.
Learn about motivation system of Southeast Bank.

1.5 Scope of the study:

As I was an intern, my scope was very much limited and restricted. I had maintained some official
formality for the collection of data of my report. I had the opportunity to work at Southeast Bank Ltd
Momin Road Branch; (HRD).The report is based on my observation and studies during my internship
period in HRD of Southeast Bank Ltd.

1.6 Methodology:
Methodology comprises of all the activities that is required to conduct the study and generate it
into a report. Methodology is the understanding principles and rules of organization of
philosophical system of inquiry procedure. It is concerned with identifying the relevant sources of
data and techniques for preparing the report.
In the following sections the methodology of the research have been describe on the basis of
research design, data collection methods, field work and techniques of data collection.

1.6.1 Type of Research:

From the view point of Function, it was a Descriptive Research as he research was
undertaken to know the practice of HR in SBL (Recruitment. Training & Development and
Motivation).

10
 From the view point of Nature of Data, the research was mainly based on Qualitative
Data.
From the view point of Research Place it was both Field Research and Desk
Research as the research was conducted among the employees of HR Department and
some HR related department of SBL by asking questions to them with the help of some
necessary procedures and documents of Human Resource Department.

1.6.2 Research Design:

Research design is a vital part of the research. There are different types of data collection
methods. Among them this research is conducted on the basis secondary data analysis.
In survey method, all primary data was the Qualitative Data and was collected by asking
questions through informal discussion. No questionnaire was used for this purpose.
1.6.3 Data Collection:
Two types of data were collected, both primary and secondary.
Primary Data Collection:
All the required primary data were collected through direct interview and also through informal
discussion.
Secondary Data Collection:
For a descriptive research different official documents are the major source of data. SEBL
arranges different workshops and training programs. Along with these documents secondary data
were collected from different books, journals etc.
SEBL published their annual report and from this report I have collect the usable data for my
report. Also took help from a book of Southeast Bank name Employees Service Rules and
Regulations & Personal Policies.
1.7 Limitation:
A researcher has to face difficulties while conducting any research. These obstacles limit the
research in some ways. But all the same these obstacles are part of a research and a researcher
should always be open in exposing the obstacles. The limitation faced while conducting this
research were:
Sometimes an organization can not provide the real information because its secrecy.
Here, I covered about only three components of HR practice of SBL.
The availability of adequate data was a major problem in making the report.
There were a few questions which were tactfully avoided or not exactly answered by the
respondents.
Time frame for the research was very limited.
Large scale research was not possible due to constraints and restrictions posed by the
organization.

11
 Although I got whole-hearted co-operation from the executives/officers at the bank but
they werent always able to give me much time because of their extreme busyness.

2.0 Company Overview

An overview of South East Bank Limited
Vision, Mission & Slogan
Commitments to Clients of SEBL
SEBL Core Values & Strengths
Management Hierarchy
product & service

SEBL at a Glance

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 2.0 An Overview of South East Bank:
Southeast Bank Limited is a second-generation bank that was established in 1995 with a dream
and vision to become a pioneer banking institution of the country and contribute significantly to
the growth of the national economy. The Banks journey began when it was incorporated as
Public Limited Company on March 12, 1995. The register of joint stock Companies and Firms
issued the Certificate of Commencement of Business of the Bank on the same date. It received
its Banking License from the Bangladesh Bank on March 23, 1995.
The overall performance of South East Bank will be increase day by day. The main reason of the
improvement is development in the technology and effective human resources of the Bank.
Management always helps the entire employee to do their work effectively. The positive and
helpful attitudes of the management encourage the employees to give better performance.
Southeast Bank employee will work in a favorable working condition. Management always gives
them different type of facilities in training, motivation and also gives them reward to evaluate their
performance.
Profile of SBL at a glance:
Name Southeast Bank limited
Essence A Bank with Vision
Chairman Alamgir Kabir, FCA
Nature of Business Banking service & Profit oriented
Legal Status Public Limited Company
Date of Incorporation March 12, 1995
Registered Office Eunoos Trade Center, 52-53,
Dilkhusa C/A (Level 2, 3 & 16)
Dhaka-1000
Authorized Capital Tk. 3,500.00 million
Paid Up Capital Tk. 2,852.00 million
Year of Initial Public 1999
Offering
Website www.sebankbd.com

The Southeast Bank Limited has already occupied a challenging position among its competitors
after achieving success in all areas of business operation. This bank is catering both the
Conventional and Islamic mode of interests. It offers all kind of commercial and personal banking
service covering almost all segments of the society. To serve the customers through capacity
building across multi delivery channel is one of the main strategies of the Southeast Bank ltd.
The sponsors of the Bank are the leading business personalities and eminent industrialists of the
country having stakes in various segments of the national economy.

13
2.1 Vision
To stand out as a pioneer banking institution in Bangladesh and contribute significantly to the
national economy.

2.2 Mission
High quality financial services with the help of the latest technology.
Fast and accurate customer service.
Balanced growth strategy.
High standard business ethics.
Steady return on shareholders equity.
Innovative banking at a competitive price.
Attract and retain quality human resource.
Firm commitment to the society and the growth of national economy.

2.3 Slogan of SEBL

A Bank with Vision

2.5 Commitments to Clients of SEBL

SEBL is a customer focused modern Banking institution in Bangladesh. We deliver unparallel
financial services to Retail, Small and Medium Scale Enterprises (SMEs), Corporate, institutional,
Governmental and Individual Clients through Branch outlets across the country.
Their Business initiatives center on the emerging needs of the market. SEBL commitments to the
clients are the following:
Provide services with high degree of professionalism and use of modern technology.
Create long term relationship based on mutual trust.
Respond to customer needs with speed and accuracy.
Share their values and beliefs.
Grow as their Customers grow.
Provide products and services at competitive pricing.
Ensure Safety and Security of customers valuables in trust with them.

14
 Integrity Commitment
Respect Service
Fairness Excellence
Harmony Insight and

Team Spirit Spirit

Courtesy Enthusiasm for

work
Business Ethics

2.6 SEBL Core Values

2.7 SEBL Core Strengths

Transparent and Quick Decision Making
Efficient Team of Performers
Satisfied Customers
Internal Control
Skilled Risk Management
Diversification

2.8 About Momin Road Branch where I did my Internship program:

Southeast Bank Limited, Momin Road

Branch, Chittagong.
Branch Details

15
Name of HOB: Guitar K. Kanungo
Date of Branch Opening: 21st December 2008
Manpower Strength: 13 including 1messenger & 1bank guard.
Performance of bank in 2009 at a glance: Figures in 000

Particulars Budget Achievement

Deposit 320,000 465,006
Loans & Advance 90.000 226,028
Profit 3700 416
Import 1,37,500 151,690
Bank Guarantee 28,875 49,66

2.9 Management Hierarchy of Southeast Bank Ltd.

Table: Flow of Authority

16
 Managing Director

Deputy Managing Director

Senior Executive Vice

President

Executive Vice President

Senior Vice President

Vice President

First Vice President

Senior Assistant Vice

President

Assistant Vice President

Senior Principal
Officer

Principal Officer

Executive Officer
Grade-1

Senior Officer

Officer

Junior Officer

2.10 Products and Services of Southeast Bank Limited

17
 General Products : 1. Savings Account
2. Current Account
3. Short Term Deposit

Deposit Scheme : 1. Fixed Deposit Scheme

2. Double Benefit Scheme
3. Pension Savings Scheme
4. Education Savings Scheme
5. Marriage Savings Scheme
6. Monthly Income Scheme
7. Millionaire Scheme
8. Monthly Saving Scheme Loan

Loan Scheme : 1.Loan General

2. Term Loan/Time Loan
3. Project Loan
4. Loan against Imported Merchandise
5. Loan against Trust Receipt
6. Loan against House Building
7. Housing Loan Scheme
8. House repairing /Renovation loan Scheme
9. Consumers Finance Scheme
10. Festival Personal loan Scheme
11. Small Business loan Scheme
12. Personal loan Scheme
13. Cash Credit
14. Security Overdraft
15. Bills against L/C
16. Education Loan

Other Services : 1. Western Union money transfer

2. First Solution & others money transfer
3. Locker Services
4. Remittance- T.T., D.D., P.O,
5. Online Banking
6. Credit Card.
7. ATM Card
8. VISA Credit Card

18
Authorized Capital 3500.00
Paid up Capital 2,852.20
General and other Reserve 247.65
Equity Fund 7,357.27
Deposit 68,714.67
Loan and Advance 60281.26
Import Business 58,019.77
Export Business 42,178.60
Inward Foreign Remittance 15,221.90
Investment 12,299.61
Operating Profit 3,012.58
Retained earnings 542.79
Total asset 81,181.53
Fixed assets 2,685.56
Number of Branch 32
No. of staff 1231
EPS 31.11
Dividend (cash) 15%
Dividend (stock ) 20%
Return on Investment 12.06%
Return on Asset 1.09%
Capital Adequacy Ratio 12,536
Classified loan 2,484.34
Provision against Classified Loan 11.12
Provision against Unclassified Loan 257.95
Loan / Deposit ratio 89.34%
2.11 Southeast Bank at a Glance: Taka in million

(As per financial statement at the end of 31st December 2008)

Chapter Three
Literature Review

3.0 Literature Review:

Literature review distils the existing literature in a subject field: the objective of the
literature review is to summarize the state of the art in that subject field. From this review

19
of earlier and recent work, it becomes possible to identify areas in which further research
would be beneficial. Indeed, the concluding paragraphs of the literature review should
lead impeccably to research proportions and methodologies. It is therefore important that
the literature review is focused and avoids the more comprehensive textbook-approach.
(David A. DeCenzo & Stephen P. Robbins, 3rd edt, pp 47).

Literature review basically is two steps. They are:

Conceptual Learning.
Empirical Learning.

3.1 Conceptual Learning: In this step researcher should go through different books
to get an idea about the research topic. This part is mostly theoretical.

3.1.1 Employment planning:

The process of deciding what positions the firm will have to fill and how to fill them. The
steps of employment planning are:
1. Decide what type of position needed to be filled.
2. Build a pool of candidates for the jobs by recruiting internal and external
candidates.
3. Have candidates complete application forms and screening them.
4. Use selection techniques like tests, background investigations.
5. Decide who to make an offer to.

3.1.2 Forecasting personnel need:

The most common personnel planning approaches involve the use of simple techniques
like ratio analysis, trend analysis to estimate the staffing need based on sales
projections.
Trend analysis: It means studying variations in some firms employment level
over the last few years.
Ratio analysis: Its a forecasting technique for determining future staff needs
by using ratio between for e.g.: sales volume and number of employees needed.
Scatter plot: A graphical method used to help identify the relationship between
two variables.

3.1.3 Internal sources of candidates:

Recruiting may bring to mind employment agencies and classified ads but current
employees are often the best source of candidates.
Filling open positions with inside candidates has many benefits:
No hassle of knowing new candidates strength and weakness.
Idea about their capability.
Got a good knowledge about the company and its work ethics.
Some times internal job planning may back fire. Employees who applied for the job but
did not get that may become dissatisfied and discontinued his job.

3.1.4 Outside sources of candidates:

Get a candidate from outside may have different ways:
Advertisements: Every ones familiar with the employment ad. Most of the potential
candidate responds to it. Advertisement may be posted to newspaper and magazines.
The media: The selection of the best medium is the local newspaper. Basically it
depends on the position of the job.
20
Employment agencies: There are three types of employment agencies:
Public agencies run by the federal government.
Non profit agencies.
Private agencies.

Here a candidate will provide his CV and detailed information about himself as well as
types of jobs he is looking for. In this way when the agency finds a suitable job offer for
him they will apply and inform him about it.

3.2 Empirical Learning:

In this step the researcher needs to review some of the articles related to his topic to get a clear
idea about what he is going to do, in his research, basically to find out the research gap. So that
with his research the gap can be fulfilled. This literature review is done on some basic yet most
important responsibilities covered by the HR department.

What is Human Resource Management:

4.0 Human Resource Management
People, not buildings, make a company successful. An organization is nothing without
Human Resource. With people an organization operates. HRM is a part of larger field of
management. Management is the process of efficiently getting activities completed with
and through other people. (David A. DeCenzo & Stephen P. Robbins, 8th edt, pp 35).
HRM is not simply react to what management states; rather HRM must take the lead in
assisting management with the people component of the organization. (David A.
DeCenzo & Stephen P. Robbins, 8th edt, pp 36). Human resource management (HRM)
is a process consisting of the acquisition, development, motivation and maintenance of
human resources. Human Resources are unique. Employees are very important assets
for any organization. Beyond their vital contribution to an organizations efficiency and
productivity, they demand fairness and equality. Civil rights labor laws, as well as
minimum wage and pension regulations reflect government attempts to ensure fair
treatment of employees. Job retaining employment security provisions, dispute
resolution and job posting practices all illustrate some employers efforts to ensure fair
treatment of employees. Human resources are vital not only because they play a major
role in shaping and achieving and organizations objectives, but also these human brings
deserve fairness and justice (David A. DeCenzo & Stephen P. Robbins, 3rd edt, pp 617).

A sense of inequity among employees affects their attitudes and behaviors.

Absenteeism, low motivation, lack of concern for the quality of products or services, with
holding suggestions for improvements, lack of commitment, and even sabotage may
result. These attitudes and behaviors affect costs, productivity, profits and hence, the
market value of the firms stock.

Human Resource Management discusses decisions that affect the relationship between
employees and employer, how many employees to hire, at what levels of skill and
experience who to promote to which jobs, who to train in which skills, how much to pay
and how to handle dissatisfied employees are examples of these decisions. To achieve
organizational goals, managers must take decisions regarding human resources and
consider the interrelationship among these decisions.

21
According MILKOVICH Human Resource Management is a service of decision that
affects the relationship between employees and employers, if affects many
constituencies and is intended to influence the effectiveness of employees and
employers

On the above definition there are three components i.e. Human, Resources which only
consider Human and Management of this resources. So, shortly we can say properly
engage the human in proper post of place in Human Resource Management.

4.1 Human Resource Management covers lots of activities as:

Recruitment Management
Workforce Planning
Induction Management
Training Management
Performance Management
Compensation & Benefits
Attendance Management
Leave Management
Benefits Management
Overtime Management
Pay slip Distribution
Time sheet Management
Employee Information/ Skill Management
Grievance Redressal
Employee Survey
Exit Interviews & Process
Health & Safety.

4.2 Function of Human Resource Management

Human Resource Management can perform several functions. These are the programs
designed in response to the human resources objectives and managed to achieve those
objectives. Each of these activities contains numerous alternatives from which managers
choose. Human Resource Management functions as follows:
1. Planning: Planning activities focus on the future, how an organization should
more from its current human resource condition to achieve its human resource,
objectives. Planning establishes the links between the organization over all
strategies and its human resource strategies.
2. Staffing: It is an important function of human resource management. Human
Resource divisions are responsible for these activities. Staffing activities
determine the compositions of organizations human resources. Here Human
Resource Division is recruit and hiring qualified employees on the basis of
education, motivation experience, ability and skills etc.
3. Training and Development Functions: Employees development and training
activities are among the most common and costly method of achieving human
resource objectives. These activities aim to help employees learn new skills or
refine existing skills. Development activities can also affect employees attitudes.
These activities are taken to increase employees to develop up-to date skills,
knowledge and abilities. HRM typically embarks on four areas in the training and
development phase-like.
(a) Employee Training.
(b) Employee Development.
(c) Career Development
22
 (d) Organization Development
4. Employee/Union Relation Function: Employee relations activities promote
harmonious relationships among managers and employees. The relationship with
unions, including collective bargaining and contract administration, is the most
visible aspect of employee relations. Employment security provisions, grievance
procedures, provisions for child care and drug counseling may all be part of
employee relations activities.
5. Motivation Function: Motivation activities in HRM concerned with helping
employees exert high energy levels. Motivation is not just what the employee
exhibits, but a collection of environment issues surrounding the job. It has been
proposed that ones performance is an organization is a function of two fraction
ability and willingness to do the work.
6. Maintenance Function: Maintenance Function in HRM concerned with
maintaining employees commitment and loyalty to the organization. HRM must
work to ensure that the working environment is safe and healthy; caring for
employees; well being has a major effect on their commitment. Here some
employee assistance programs are taken by HRM.
7. Compensation Function: Compensation includes the rewards and returns for
employees expertise and services. HRM pays compensation on the job level,
individual performance and work team performance. Compensation includes,
cash incentives, bonuses, health and medical benefits and pension.

Findings and Analysis:

5.0 HRM Model applied in Southeast bank Limited
In the Southeast Bank Ltd there is a department called HR Logistics, which is actually their
Human Resource Management department. This department, in the organization, performs a
wide range of tasks, though all of the HRM practices are available in the organization. All the
branches of the bank have the HRM or such department.

This department performs the duty of recruiting, selecting, training and development, motivating,
job designing, performance appraisal and rewarding and giving benefits etc.
By doing the survey of HRM practice of Southeast Bank, identified this HRM model among the
nine areas all of them applied in Southeast Bank. These nine areas have been termed spokes of
the wheel in that each area impacts on the human resource output: quality of work life,
productivity and readiness for changes.

5.1 Major Activities I have covered of HRM Practice in

Southeast Bank
Staffing/Recruitment and selection process.
Training & Development/
Motivation (Benefits, Compensation and Increment, Promotion).

23
 Recruitment
Recruitment Principles
General
Rules/Requirements
Recruiting
- Internal
- External
Selection and Joining
Process
Salary Structure

Human Resource Training &

Promotion Management DEVELOPMENT
Rules & Regulations Employee Training
South East Bank
Interview Management
Limited Development
Achieving Promotion
Career Development
EXTERNAL
INFLUENCES

MOTIVATION
Job Design
PAS System
Performance Evaluations
Rewards
Job Evaluation
Compensation /Benefits
Disciplines
Safety and Health.

24
 Analysis
5.2 Recruitment:
Recruiting is the process of discovering potential candidates for actual or anticipated
organizational vacancies (David A. DeCenzo & Stephen P. Robbins, 3 rd edt, pp 118).

Human Resource Management is of paramount importance for Bank Management. Banks

physical resources, human resources and technology are to be combined into a productive system
to achieve organizational goals.

Human resource recruitment involves evolving an appropriate planning process to move the Bank
from its particular resource position to desired human resource position and placement of right
kind of people at the right place at the right time.

5.3 Recruitment Principle:

Al appointment/recruitment in the Bank will be made by direct recruitment as per prescribed
criteria or by promotion as per promotion policy approved and/ or amended/ updated by the
competent authority from time to time.
There are some recruiting sources which are used by Southeast Bank which are effective for
filling certain types of jobs they offer. Southeast bank follows both internal and external
recruiting sources which are described below:

5.4 Requirement for Recruitment:

No person shall be appointed in the service of the Bank unless:
a) The applicant is a citizen of Bangladesh. Provided, however, that this may not be
applicable in case of recruits abroad or in case where relaxation has been approved by the
Board on consideration of special circumstances.
b) A qualified medical practitioner acceptable to the Bank certifies that the applicant is
physically and mentally fit for service in the Bank.
c) The applicant has not been dismissed/terminated from the service or his service has been
dispensed with for any specific reason with his/her former employer for financial
irregularity or act of dishonesty/fraud/forgery. Those lateral entrants who have been
dismissed / terminated from the service of their former employer after submission of their
resignations with the intent to join Southeast Bank Limited shall, however, remain
outside the purview of these sub-rules.
d) The age limit of the applicant for fresh entry in the Bank should be within the age bracket
of 18-30 years. For lateral entry, the maximum age limit will be 50 years. It will not,
however, be applicable in case of contractual employment.

5.5 General Rules of Recruitment:

a) A panel of successful candidates will be prepared in order of merit for recruitment in the Bank
and appointment letter will be issued from the panel after the approval of the competent authority
serially from the beginning based on final evaluation on the basis of requirement of the Bank.

b) A candidate selected for appointment must be medically fit. Any physical or mental disorder
will result in cancellation of his recruitment/appointment.

c) Each candidate shall have to mention two well placed/respectable persons as reference in
his/her resume. The confidential opinion of the referees about the character antecedents of the
candidate shall be obtained. Besides, the management shall also try to gather information from
other sources about the character and past records of the candidate. If any adverse report is

25
thereby received, the appointment of the candidate, if done, shall be cancelled and he/she may be
terminated without assigning any reason whatsoever.

5.6 General Flow Chart of Selection Procedure:

Recruitment & selection are important part of HR success of South East Bank. South East Bank
HR follows some on recruitment & selection process. These are:
Advertisement/submission of CVs at HRD, Head Office

Sorting out of applicant

Preparation of preliminary list

Calling the selected applicants for the written test

Holding written test

Selection of eligible candidates for the Interview (VIVA-VOCE)

Calling the selected candidates for the interview

Conducting interview

Investigation of applicant details

Preparation of desirable candidates list

Final approval by the competent authority

Physical fitness for employment

Appointment and placement

5.7 Internal Search

Many large organizations like Southeast Bank develop their low level employees for promotion.
(David A. DeCenzo & Stephen P. Robbins, 3 rd edt, pp 121). First of all, the HR Department
searches for the capable person for any vacant post within the organization. It means that, they
promote the lower order workers to upper order in the organizational chart. But for this promotion
every employee has to have some qualifications and these are (a) The employee must have a
certain degree to be promoted (b) S/he must be senior to the employees in his/her department (c)
S/he must have to serve the organization for at least for a fixed period of time. This period is a
variable for different posts.
Such as,

SL Name of In case of Graduate In case of Post Graduate

No. the Post
01 DMD 3 years as GM or SEVP or in 2 years as GM or SEVP or in
equivalent position in any equivalent position in any scheduled
scheduled Bank and minimum Bank and minimum banking service 24
26
 banking service 25 years.
02 SEVP 2 years as GM or 3 years as EVP or
in equivalent position in any
scheduled Bank and minimum
banking length of service 24 years.
03 EVP 1 years as GM or 4 years as SVP or
in equivalent position in any
scheduled Bank and minimum
banking length of service 23 years.
04 SVP 3years as DGM or VP or in
equivalent position in any
scheduled Bank and minimum
banking service length 22 years.
05 VP 4 years as AGM or 3 years
FVP/SAVP or in equivalent position
in any scheduled Bank and
minimum banking service length 19
years.
06 FVP 3 years as AGM or 2 years as SAVP
or in the equivalent position in any
scheduled Bank and minimum
banking service length 17 years.
07 SAVP 2 years as AGM or 3 years as AVP
or in the equivalent position of AVP
in any scheduled Bank and
minimum banking service length 15
years.
08 AVP 3 years as SPO or in equivalent
position in any scheduled Bank and
minimum banking service length 13
years.
09 SPO 3 years as PO or in equivalent
position in any scheduled Bank and
minimum banking service length 10
years.
10 PO 3 years as SO or in equivalent
position in any scheduled Bank and
minimum banking service length 8
years.
11 EO 2 years as SO or in equivalent
position in any scheduled Bank and
minimum banking service length 6
years.
12 Officer 3 years as Junior Officer or in
equivalent position in any
scheduled Bank and minimum
banking service 4 years.
13 JO 1years service in any scheduled
Bank.
years
1 years as GM or 2 years as EVP or in
equivalent position in any scheduled
Bank and minimum banking length of
service 23 years.
3 years as DGM or SVP or in
equivalent position in any scheduled
Bank and minimum banking length of
service 22 years.
2 years as DGM or VP or in equivalent
position in any scheduled Bank and
minimum banking service length 21
years.
3 years as AGM or 2 years as
FVP/SAVP or in the equivalent
position in any scheduled Bank and
minimum banking service length 18
years.
2 year as AGM or 1 year as SAVP or in
equivalent position in any scheduled
Bank and minimum banking service
length 16 years.
1 year as AGM or 2 years as AVP or in
the equivalent position of AVP in any
scheduled Bank and minimum banking
service length 14 years.
2 years as SPO or in equivalent
position in any scheduled Bank and
minimum banking service length 12
years.
2 year as PO or in equivalent position
in any scheduled Bank and minimum
banking service length 8 years.
2 year as SO or in equivalent position
in any scheduled Bank and minimum
banking service length 6 years.
1 year as SO or in equivalent position
in any scheduled Bank and minimum
banking service length 4 years.
2 years as Junior Officer or in
equivalent position in any scheduled
Bank and minimum banking service 2
years.
Minimum 1 year service in any
scheduled Bank.

27
**The names of grades of employees differ from Bank to Bank. Therefore, the grades of Officers
or our Bank would be cross matched by Banks Human Resources Division with these of other
Banks keeping into consideration the salary package, length of service etc.

5.8 Employee Referrals/Recommendations

If the above process does not meet the requirement, Southeast Bank then goes for Employee
Referrals or Recommendations. One of the best sources for individuals who will perform
effectively on the job is a recommendation from a current employee (David A. DeCenzo &
Stephen P. Robbins, 3rd edt, pp 125). They suggest their employees to recommend some eligible
persons for vacant posts and then test those persons and if they pass, give them the opportunity to
work in the organization. Usually, service and staff level workers are recruited through this
process.

5.9 External Search

In addition to looking internally for candidates, Southeast Bank often opens up recruiting efforts
to the external community. From different types of external sources Southeast bank mainly used
advertisement and Cyberspace recruiting.

5.10 Advertisement
When Southeast Bank requires quite a large number of workers at one time, they go for
advertisement in the national dailies. National Dailies like Prothom Alo, Jugantor, and the Daily
Star etc. Normally service or junior level officers, but sometimes, senior officers are also
recruited through this process. Candidates with the required qualification apply with a full bio-
data and with an application, written in own hand. The application is not granted if it is not
written with the applicants own hand.

5.11 Cyberspace recruiting

Large organizations or those planning to do a lot of Internet recruiting often develop dedicated
sites specifically designed for recruitment. Southeast Bank also has their own website where the
potential incumbent might post their resume. In the site Southeast Bank have information like
employment advertisement, qualification sought, experience required, benefits provided and
Southeast Bank services, corporate philosophy and vision and mission statement. Southeast
Bank web sited include an on-line response form, so applicants need not to send a separate
resume by mail, e-mail or fax.

5.12 The Selection process of Southeast Bank

The primary purpose of selection activities is to predict which job applicant will be successful if
hired. During the selection process, candidates are also informed about the job and organization
(David A. DeCenzo & Stephen P. Robbins, 3rd edt, pp 170). Southeast Bank also selects their
employees in a process which are described below:

5.13 The Discrete Selection process of City Bank

After the recruitment is complete, Southeast Bank goes for selection through the following
process. The selection process consists of seven steps among them initial screening, completion
of job application form, employment test, comprehensive interview, background investigation,
physical examination and Final employment decision. So the selection process of Southeast Bank
typically follows a standard pattern, beginning with an initial screenings interview and
concluding with the final employment decision.

28
5.14 Initial Screening
First, through the initial screening process, they sort out the applications those have the actual
qualifications (Degree, age, experience (if necessary)) for the post. Then these candidates are sent
the admit card for the employment test.
.
As: Educational Qualification:
Bank shall give priority to recruitment of self driven and result oriented graduates with good track
record in academic history. In case of all lateral entry as an Officer/ Executive of the Bank, the
job aspirant has to be at least a graduate having minimum 7 (seven) points in his / her academic
career.
For fresh recruits, the education qualification recruitment shall be the following:
Post Requirement
(a) Management Trainee 1. The applicant should be at least a MBA/MBM degree holder from a
reputed educational institution with a minimum 10 points for
MBA/MBM throughout the academic career with no 3 rd division/class
in his/her academic career.
2. Minimum CGPA 3.00 or above from IBA/NSU/ or any other
reputed/recognized/local/foreign University as may be deemed fit by
the Bank Management from time to time. No. 3rd division/class in
his/her academic career shall be acceptable.
(b) Probationary Officer 1. The applicant should be at least a Master Degree/BBA holder from
a recognized educational institution with minimum 9 points. No. 3 rd
Division/class shall be acceptable.
(c) Trainee Asst. 1. The applicant should be a Master degree holder from a recognized
Officer(General) educational institution.
2. Minimum 8 (eight) points are required.
(d) Trainee Asst. Officer 1. The applicant should be a Master degree holder from a recognized
(System) educational institution.
2. Minimum 8 (eight) points are required.
3. The candidate should have computer literacy.
(e) Computer Trainee 1. Graduation with minimum 6 (six) points.
2. The candidate should have Computer Knowledge for PC operation.
(f) Cashier Trainee 1. Graduation with minimum 6 (six) points.
**Confidential opinion of the referees acceptable to the Bank about
the character antecedents of the candidate shall be obtained. The
candidate has to provide a Surety Bond of Tk1.00 Lac to the Bank.
(g) Messenger Minimum S.S.C
(h) Bank Guard 1. Minimum class Eight Pass with ANSAR training or ex-Army,
Police, BDR personnel.
2. Age limit: 21-35.
(I) Tea Class 8 (eight) pass.
Boy/Cleaner/Electrician
/
Sweeper(Casual)
(j) Driver 1. Driving License from appropriate govt. authority.
2. 5 (five) years driving experience.
3. Class 8 pass.
4. Age limit 21-35.

29
5.15 Employment Test
The Southeast Bank Ltd. has a two step employment test. First, the written test then the interview.

Written Test (In case of fresh recruits):

a) An external authority to be determined by the Bank shall hold written test for recruitment of
Management Trainee (MT) and Probationary Officer.
b) According to the grading/marking policy, each fresh candidate has to sit for a written test.
c) The subject matter of the test may be General Aptitude, General Knowledge, Arithmetic,
English, Bengali or as will be determined by the External Authority.
d) Code numbers may be used to ensure secrecy and to avoid undue persuasion.
e) Qualification marks for viva-voce will be determined by the Bank Management.
f) The total marks, of the written test will be determined by the external authority.

The bank contracts with some other organizations, like IBA, BIBM or any other institute, to
conduct the written test for them. The bank sails the boat in that organization, where their cost
will be minimal. The selected organization then takes the written test, screens out the answer
sheets and sends the number-sheet to the bank. The bank has a preset standard score and those
who have scored more than or equal to that score are called for the interview. The bank itself
conducts the interview. The bank hires reputed banking specialist within the country for
conducting the interview.

Interview Performance:
The following marking system for interview shall be followed:
*Dress, Physical Appearance, personality, Confidence and capability 5
*Knowledge in related Field/ Subject 5
*General Knowledge 5
*Analytical Ability, Communication Skill and Potentiality 5

After the interview the total marks of the written test and the interview are added. Those who are
at the top of the final list get the opportunity to serve in the organization.

5.16 Comprehensive Interview

Southeast Bank used comprehensive interview to obtain in-depth information about a candidate.
The applicant of Southeast bank is interviewed by HR Department interviewers, senior managers,
and potential supervisors. For example, if an applicant comes to interview for a position in credit
department then the credit department manage and HR Department managers interview that
person. Basic focus is to find out applicants motivation level, and ability to work under pressure
and with other people of credit department.

5.17 Background investigation

Southeast Bank used the background investigation which is the process of verifying information
job candidates provide. The background checking the employee is done at the interview time and
through the bio-data the candidates submit For example, if any incumbent provide reference of
their previous work record and also provide their appraisal then Southeast Bank verifying all the
information by contracting his/her previous office. By doing so, bank can predict the incumbent
past behavior, backgrounds or experiences. In this way they can ensure the incumbent is a skilled
and knowledgeable person.

30
5.18 Physical examination
After the background investigations Southeast Bank take the initiative of physically examine the
candidate. Physical examination is an examination to determine an applicants physical fitness for
essential job performance. For example, Southeast Bank send the candidate to the medical for
basic medical checkup, like HIV, Cancer and any other serious disease that may not fit for the job.

5.19 Final employment decision

The candidates who pass both the written test and the interview are considered for final
appointment. Within those candidates the required number of employees are taken and given the
final appointment. These employees have to fill up an appointment form at the time of joining.
Those of them, who are currently employed, do not have a previous banking experience have to
go serve as a trainee for at least two years. Those who have previous experience not necessarily
need to be trained. Sometimes the selected employee has to submit a bond that, s/he will not leave
the organization before certain years of service.

5.20 The Selection Device of Southeast Bank Limited

Application form is the main selection device of Southeast Bank Limited. The application form
generally contained Name, Age, Marital status, and Educational qualification, interested and, past
experience etc. The information which is in the application form must be related to the job.

5.21 Socializing, orienting and developing the employee of Southeast Bank

Socializing is a process of adoption that takes place an individuals attempt to learn the values and
norms of work roles (David A. DeCenzo & Stephen P. Robbins, 8 th edt, pp 198). In Southeast
Bank an employee needs accept the Southeast Bank behavior, and the job environment, and then
the person socializes in banks environment.
For example, when a junior executive of Southeast Bank begin his job, accept a lateral transfer, or
get a promotion, he or she need to required to make adjustments. He/she must adapt to new
environment-different work activities, a new boss, a different group of co-workers. This is a
move from outside to inside (Southeast Bank) by an employee.

5.22 Orientation of new employees in Southeast Bank

Orientation involves introducing new employees to the organization and to his/her work unit
(David A. DeCenzo & Stephen P. Robbins, 3 rd edt, pp 213). At first when any new employee
come to Bank, they organized a orientation where they introduce about the Southeast bank
history, objectives, mission and vision of Southeast bank, rules, hours of work, specific duties,
brief discussion about the different types of service of Southeast bank and etc.

5.23 Absorption of Fresh Officer in the Regular Service of the Bank:

After completion of probationary/training period, the performance of a fresh officer shall be
evaluated by the Management. I n the Performance Appraisal, the concerned officer has to score
minimum 60% mark for absorption in the regular service of the Bank. In case, he/she fails to
secure 60% marks, the Management may extend the probationary/training period of may
terminate his/her service without assigning any reason whatsoever.

5.24 Contractual appointment

Contractual appointment is usually offered to experienced & skilled persons particularly for
senior & mid level executive posts. Usually such employment is for not more than 3 (three) years
although it may be renewed for a further period/terms at the discretion of the appointing authority.
The age limit for contractual appointments should not exceed 65 years. The salary & designation
31
of such appointment should be based on his/her previous salary structure & designation, contract
period & salary package.
5.25 Joining Process
After passing the all viva test, then HR make an approval & appointment letter for the potential employees &
offer them, if employee received the job offer then HR give them a Joining Kit. Employees fill-up the Joining
Kit & submit all necessary documents (i.e. all attached education certificate, if the candidate experienced then
he/she must have submit the previous employer release letter & last month pay-slip) for join in the bank.

Training & Development

6.0 Training & development process of South East Bank Ltd
Training is an act of increasing the knowledge and skill of an employee for doing particular job.
Training refers to the teaching and learning activities carried on for the primary purpose of helping
members of a organizations to acquire and also to apply the required knowledge, skills and
attitudes to perform their job effectively.
6.1 Objectives of Training Programs of SEBL
To developed basic knowledge regarding information & communication technology
necessary for bank.
To familiarize the participants with the computer related issues & application package.
To enhance the practical working experience.
To familiar the participant with the concept, regulations of foreign exchange money
market.
To grow skill for formulation of HR planning.
To develop knowledge about the mechanism of HR development.
To familiar the participant with the principles & practical of audit & inspection in bank.
To develop their skill for work.
To provide knowledge on different aspects of economics.
To give a clear understanding about different principles of banking.
To acquire knowledge for different kinds of project.
Training is needed for the organization & also employees. Training is need for many perspectives
such as-----
a) When new employee are join in the new organization.
b) When new things are come in the organization for work purpose.
c) Developing the employees skill.

32
6.2 Employee Training of Southeast Bank Limited

Training is a learning experience in that it seeks a relatively permanent change in an individual

that will improve his or her ability to perform on the job (David A. DeCenzo & Stephen P.

Robbins, 3rd edt, pp 240). For continues development of human resource the Southeast Bank

continued to focus its strategy of retaining experience and skilled manpower through offering

attractive careers. With a view of achieving professional excellence in banking, the Bank has

emphasized on different training, workshop and development program both in house and outside.

Southeast Bank Ltd. has a system of training the employees in a regularly basis, particularly the

newly appointed employee. The bank has a training institute (BIBM) of its own with high

computer facilities, where every year some training courses are completed. The bank sometimes

sends its employees to other organizations for more training. In the last year (1998) the bank

trained 291 employees in 15 courses in its own institute and also got 81 employees trained in

various 30 courses conducted by the Bangladesh Institute of Bank Management (BIBM). In the

current year the bank has also taken some training program. In the year 2005, the Southeast Bank

Training Institute organized 43 different training and workshops where 1171 participants took

part. Beside, 65 participants in 39 courses at BIBM, 54 participants in 33 courses at Bangladesh

Bank, 46 participants in 21 courses at other remain academy. (Annual report of Southeast bank

limited, 2005.).

6.3 Training Method used in Southeast Bank Limited

There are mainly two different types of methods of training used by different organization. Both

of these methods are also used by Southeast Bank Limited which is describing below:

On-the-Job Training: The most widely used methods of training take place on the job.

SEBL used on-the-job training which places the employees in an actual work situation and

makes them appear to be immediately productive. It is learning by doing.

33
 Off-the-Job Training: Off-the-job training covers a number of techniques-among them

SEBL used some programmed instruction like BIBM, Bangladesh Bank etc.

Techniques are:
Lectures
Videotapes
Audio tapes
Slides
Films
Case studies
Self-assessment/ self-testing instrument
Computer conferencing

6.4 Management development of South East Bank Limited

Management development is more future oriented, and more concerned with education, than is

employee training, or assisting a person to become a better performer. In Southeast Bank the

management development focuses more on the employees personal growth. As the managers are

the heart of Southeast bank they need to developed day bay day. Successful managers of

Southeast Bank have analytical, conceptual and specialized skills. Developing the management of

Southeast bank begin by looking at the Southeast Bank objective which is become a leading bank

in the country with best practice and highest social commitment.

6.5 Methods used by Southeast Bank Limited for developing managers

There are mainly two methods among them on-the-job methods are used by Southeast Bank ltd.

for developing their managers which are describes below:

On-the-Job Development: The development of a managers abilities of Southeast Bank can take

place on the job. There are different techniques of on-the jobs among them Job Rotation are used.

Job Rotation can be vertical or horizontal. Southeast Bank primarily follows the horizontal job

34
transfer where the worker in a particular department like Credit department spends two years and

then moved on. Also on the situational basis- that is, by moving the person to another activity

when the first is no longer challenging to him or her. For example, the junior executive in the

credit department will move to the department of Islami banking when his/her activity in the

credit department is no longer challenging to him/her.

6.6 Career Development by Southeast Bank Limited

A career is a sequence of position occupied by a person during the course of a lifetime (David A.

DeCenzo & Stephen P. Robbins, 3rd edt, pp 296) Southeast Bank limited continuously developing

their Human Resource to focus its strategy of retaining experienced and skilled manpower

through offering attractive careers. The bank has given emphasis on the appointment and

placement of competent personnel with proven track record.

6.7 The value of effective Career Development by Southeast Bank Limited

The administration department of Southeast bank focused the career development programs

because it increases the organizations effectiveness in managing its human resources. The HRD

of Southeast bank knows that outstanding employees are always being scarce, and they usually

find there is considerable competition to secure their services. Thats why Southeast Bank gives

preference to these employees who exhibit the greater loyalty and commitment to the job.

35
7.0 Motivation Process of Human Resources of Southeast bank Limited

One of the main criteria for effective human resource management is motivation. Motivation is

the willingness to do something and is conditioned by this actions ability to satisfy some need for

the individual (David A. DeCenzo & Stephen P. Robbins, 3 rd edt, pp 312). For the desired result

of any organization, motivating the employees is very important. So the Southeast Bank Ltd. also

tries to motivate its employees. But the bank does not have a standard motivational process. It

motivates only with the help of increment and incentives. One thing about this increment is that it

has no specific period. Sometimes it is a yearly or sometimes it is quarterly and again sometimes

it is semiannually, depending upon the overall performance of the workers and the bank itself.

McGregors Theory Y

From the human resource officer informed us that they believe in McGregors Theory Y and

emphasize the safety and love need for all employees. Douglas McGregor concluded that a

mangers view of human nature is based on one of two sets of assumptions about people, and that

managers tend to mold their behavior toward subordinates according to which set assumptions

they hold. The first set of assumptions, basically negative, McGregor labeled Theory X; and the

second, basically positive, labeled Theory Y. McGregor listed four assumptions that he called

Theory Y which is followed by Southeast Bank HRM which are described below:

1. Employees can view work as being as natural as rest or play.

2. Employees will exercise self-direction and self-control if they are committed to the

objectives.

3. The average person can learn to accept, even seek, responsibility.

4. Creativity-that is, the ability to make good decisions- is widely dispersed throughout the

population, and not necessarily the sole province of those in managerial functions.

Besides the increment, the bank sometimes tries to motivate the employees by full-filling their

required needs of the employee. But as it is a centralized organization, management plays a big

36
role with the HR department in determining these motivating factors. The bank is always cautious

about that all the hygiene factors are present in the environment and if the employees are not

motivated, at least they are not de-motivated

7.1 Job Design

Job design may be defined the way which job tasks are organized into a unit of work. One of the

more important factors that influence an employees motivational level is the structure of his or

her work (David A. DeCenzo & Stephen P. Robbins, 3 rd edt, pp 340). Form the analysis of the

employees of Southeast bank limited, it is knowing that the different job tasks are organized in

such a way that employees find it intrinsically rewarding-because they offer challenges and

greater freedom and the employees find interesting, which provide motivation in themselves.

7.2 Performance Appraisal System:

Performance Appraisal System (PAS) is the tool by which the Bank will measure the performance
of an individual and identify the gaps and plan future developments in order to enable a better fit
between the jobs & the incumbent.
It is an HR process for driving business results. It is defining in advance what we must do as an
individual to win in the marketplace and later on assessing the performance based on the extent to
which we achieve results.
Performance Appraisal System is fully structured to measure/ asses the competency of any
employee. Goals/ Key Result Areas (KRA) are the specific major objectives to be set at the
beginning of the year through consultation with the reporting manager. These need to be aligned
to the objectives of the function and consequently to overall objectives of the Bank.

A management competency is a skill, ability or trait that predicts success to perform a job. The
Performance Appraisal needs to be implemented as per the PAS format which will be circulated
by HR at the beginning of the year. The definitions of rating in Performance appraisal are given
below for reference:
1 = (Outstanding) The individual who has exceeded 85% and above of his target in all of his
key result areas is eligible for rating 4.

2 = (Very Good) The individuals who has exceeded 75% - 84% of his target in all of his key
result areas is eligible for rating 3.

37
3 = (Good) The individual who has achieved 60%-74% of his target in all of his key result
areas is eligible for rating 2. The employee achieved the essential requirement of day to day
job.

4 = (Average) The individual meet minimum effective performance standard to perform

within the set objective. HR dept. will organize a counseling session with the employee those
who are rated -1.

5 =(Below Average) The individual who has failed to demonstrate his performance in all of
his key result areas to be rated 0 and he/she will be treated as non performer will exit from
the Bank subject to decision by the Management. He/she also have a counseling session with
the Human Resources Department.

Those who are rated 4, 3, and 2 are eligible for incentive bonus. If any appraise feels that
his/her Performance Appraisal by the line Manager/supervisor is influenced by discrimination or
unfair and biased judgment, the appraise may appeal to Head of HR with his/her grievance in
writing. In such cases Head of HR will be the first point of contact. If the issue remain
unresolved than it will be referred to the Managing Director for his review and decision and
in that case the decision of Managing Director will be final.

7.3 Performance Evaluations

Unlike the selection, training and motivation process the Southeast Bank Ltd. have a performance

appraisal process. The performance evaluation and appraisal is therefore done mostly by the

observation on how the employee is doing or dealing with a client. The Southeast Bank Ltd. has a

special unit, under its HR Department, to conduct this performance evaluation and appraisal. This

unit keeps its eyes on the performance of all the employees throughout the year and suggests

necessary actions (Reward or Punishment) where it is necessary. Sometimes special task

committee visits any branch without any precaution. In this way the bank conducts its

performance measurement and appraisal process.

38
7.4 Rewarding the productive employees of Southeast Bank Limited

As the tree, so is the fruit. Because the bank has a specific performance evaluation and appraisal

system the bank provide a standard reward system to reward its employees. If any employee can

astonish the authority by his/her extra-ordinary performance s/he is then rewarded for that

performances but this reward is mainly financial reward, which comparatively has a low effect on

the employee who is in quite a higher level of the organizational ladder. On the whole, increment

is the only reward that the bank uses for motivating or appreciating its employees. In 2007

Southeast Bank employment for the employees based on market demand, providing performance

bonus to the employees and also introduce the Best Manager and Best Employees award would

certainly put the Bank on an elevated position in the market. One of the missions of Southeast

bank is To nurture an enabling environment where innovativeness and performance is

rewarded.

7.6 Job Evaluation

Job evaluation is the process whereby an organization systematically establishes its compensation

program. Actually the bank compensate firstly by classification method of job evaluation and

then by ranking method.

Classification method :Classification are created by identifying some common denominator-

skills, knowledge, responsibilities- with the desired goal being the creation of a number of

distinct classes or grades of jobs. While compensating any worker, the bank first determines the

class of that post. (The Southeast Bank Ltd. has four classes of works Executive, Senior Officer,

Junior Officer and Staff). After classifying, the bank, determines the rank of the post within the

classification and compensate according to the compensation scale. The HRD could not provide

me the pay scale because of some internal problems but informed me that, the compensation scale

is enough attractive for the employees working in the bank.

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Ranking Method: Ranking Method requires a committee typically composed of both

management and employee representative to arrange jobs in a simple rank order, from highest to

lowest. Besides this normal pay scale, the bank has special compensation system for the higher

level workers (The Executive Level Officers). The bank provides these employees according to

the standard scale.

7.5 Compensation/benefits

The goal of compensation administration is to design the lowest-cost pay structure that will

attract, motivate and retain competent employees, and that also will be perceives as fair by these

employees. As the Southeast Bank Ltd. has a performance appraisal or reward system, it has a

good benefit package. The bank has a package of different types of leaves for all level of

employees. The bank provides a satisfactory annual leave, sick leave and causal leave. Besides

these the bank has kept the opportunity for the employees to have extra leave for emergency

situation. Besides this leave package the bank provide an opportunity for the employees to have a

provident fund, which the bank and the employee share equally (5% contributed by both the

worker and the employer). The bank provides Fringe Benefits for its executive level

employees. The bank thinks that its compensation package is very sensitive and confidential and

cannot be exposed to the people from outside. Here I am again very grateful to Mr. Showkat for

providing me with the some portion of this confidential (As the bank authority thinks)

information. The banks pay structure is pretty much dependent on the job evaluation. It means

that the bank tries to compensate according to the job difficulty or in other words job hierarchy.

Benefits of Regular Associates:

Annual leave: One day annual leave per fifteen days of actual work and government holidays

announced by the Bank authority.

Sick leave: Maximum Fourteen days in a calendar year with full pay. Maximum 28 days Sick

leave may be accumulated.

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Casual leave: Ten days per year but not more than two consecutive days.

Reimbursement of Hospitalization Bills: Southeast bank ltd reimburse hospitalization bills to its
employee for their spouse, children, parents and themselves up to equivalent of three basic
salaries or the actual bill whichever is lower in a year. This scheme makes the employee to
remain affiliated with their organization. Moreover, the employee of SEBL get special discount for
availing medical services from some reputed hospital as arranged by the management of SEBL.
It also demonstrates vaccination program among its employees.

Other leave: As per service regulation. Female employees can have maternity leave for a period

of six weeks at a time. Maternity leave shall be granted only thrice during the entire

period of services of a female employee with the bank. The interval between the first

and last maternity leave being not less than 36 months.

Provident fund: 5% contribution by both employee and the employer.

Leave Fare Assistance: As per service required.

Fringe Benefits: The bank will provide telephone and residence to those employees who have

reached the higher positions in the executive level.

Bonus: SEBL pays its employees festival and performance bonus. SEBL authority considers its
incentive bonus package is the best among all the private banks in Bangladesh. Festival bonus
scheme includes two bonuses a year each worth the basic pay of an employee. Naturally this
bonus is disbursed during two Eid festivals. The other bonus, performance bonus, is for
performance reward. To motivate people SEBL encourage performance so that employees can
get the benefit.

Promotion: Rules & regulation for promotion of the employee

Promotion can not be claimed as a matter of right and all promotion shall be made on
merit and no employee shall have a claim to be promoted to a higher grade by virtue of
his seniority alone.
Promotions to the deserving employees of the Bank shall be considered on the basis of
Banks Promotion Policy approved/ to be approved/ amended by the Board of Directors
from time to time.
In case promotion can not be considered for any specific reason, the board may recognize
the outstanding performance of any individual Officer/Executive and reward him/her
suitably upon recommendation of the President and Managing Director.

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This is a prescribed number distribution by which the promotional candidates are ranked. These
are:
Sl. No. Subject Marks

1 *ACR (Annual Secreted Report) 50

2 Duration of the job 15
3 Education Qualification 10
4 Interview 25
Total 100

*ACR (Annual Secreted Report) is carry 50% marks of the total marks. In ACR the following
things are contain:
Daily works
Target fulfill
Customer service

Interview
In the interview the interview boards are asked the employees past performance. They see the
creativity, the leadership skill, smartness, motivation power.

Achieving promotion
How much he/she gets performance in yearly. Promotions are not done exactly 3 or 4 years. It
depends on the employee performance. If employee done well he/she can get 1 or 2 promotion in
one year. But any employee are not done well in his performance that employee cant get
promotion in any years. So it depends on the performance of the employee.

7.6 Safety and Health

Management of Southeast Bank has a responsibility to ensure that the workplace is free from

unnecessary hazards and that conditions surrounding the workplace are not hazardous to

employees physical or mental health. The working condition of Southeast Bank is very excellent

and they are always committed to their employees that their health and safely will be ensure.

8.0Findings:

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8.1 On Recruitment:
HR should follow better Recruitment Policy:
Some officer is not qualified for their position. So, the human resources department
manager will always try to recruit qualified person. HR manager must give preference to
the qualified person rather then reference person.
Insufficient number of Employees:
Insufficient number of employees in General banking department on SEBL. Due to the lack of
employees customer dont get their service on the right time. I have observed that the working
hour is 9.00AM to 5.00PM but the executive of the general banking leave their office 8.00 pm to
8.30 pm.

8.2 On Training & Development

Employees negative attitudes towards Training:
Most of the employees think that training is not necessary; it was just waste of
valuable time.
They think that it is not practical in todays work place.

8.3 On Motivation
Most of the Banks motivate their employees by giving simple increment and incentives. But
from my own opinion I suggest, SEBL can change their view and process to motivate their
employees by adding something more like:
1. Let them work from home. It doesnt have to be full-time telecommuting, but let them
know bank understand that this work/life balance thing is hard and as long as they get the
work done, its okay to work at home (at least when its really necessary).
2. Performance Based Bonuses Create a new bonus system. Make it based on team
performance and tie it directly to the bottom line. Every month, review how the team is
doing and what their projected bonus is (an actual chart on the wall would be great).
When done correctly, bank increase teamwork, the bottom line, and motivation.
3. Cafeteria Plans Medical, dependent care, and transportation flex spending plans are
inexpensive to operate and they save bank and banks employees money (via tax
savings).
4. Listen Everyone wants to be heard. Establish an open door policy and actively
encourage feedback from your employees. Encourage them to bring solutions (not
problems).

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 5. Flexible Work Hours Create a core set of hours that are mandatory, but let the rest be
flexible. Some people are more productive in the morning, others in the afternoon. Some
have kids to get off to school; others have night classes to get to. Give employees a little
flexibility in how they schedule their days.
6. Consistently Offer Training - Though SEBL organize training program for each and
every employees but it should be regular training sessions. Everyone wants to know that
their job matters and that other people's lives would be affected if the job was not done
correctly. Start a weekly educational meeting where management keep staff informed
about products, services and customer relations and how they all interrelated. Serve a free
lunch at the meeting.

Promotion:
Employees of SEBL have to wait a long time for promotion. Majority of the employees
are not satisfied by this promotion process.

9.0 SWOT Analysis

It is a technique used by the officers to evaluate proposal submitted by the company

especially by the production concern. Here,

S stands for Strengths

W
stands for Weaknesses

0 stands for Opportunities

T stands for Threats

9.1 Strengths

It analyzes the inherent of the company, resilience, brand loyalty, endowment and good side of
the organization etc.

SEBL is the first generation commercial bank in banking sector. They build strong
reputation in the market.

Employees of HRD are highly qualified & experienced.

Employees of HRD know how to set manpower in every suitable post.

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 They trained & developed people efficiently.

The top management of the bank, the key strength for the SEBL has contributed heavily
towards the growth and development of the bank.

Strong network throughout the country and provide quality of service to every level of
customer.

The corporate culture of SEBL is very much interactive compare to our other local
organization.

Highly experienced top management.

7.1.2 Weakness

Some times with references some candidate gets job that are not suitable for that post.
Some times employee also uses HR for their personal benefits.
At the entry level and mid level officers experience considerable low remuneration
packages that some other local banks.
There is a very little practice for increasing motivation in the workers by the
management.

7.1.3 Opportunity

HR can hire the best experienced employees by offering a competitive benefit package.
HR also can retain existing employees by giving more benefit package than competitors.
Also they can train existing employee as like different kinds of training program for their
better performance.

7.1.4 Threats

Default culture is very much familiar in our country. For a bank, it is very risky.
Its the duty of HR employee that collecting all necessary documents (education
certificate, pay-slip, release letter of previous employer etc.) after joining each new
employee; some times it may be forgotten under work pressure.
The Central Bank exercises strict control over all manpower collecting in local banks.
Rival banks easily recruited best experienced employee by offering more attractive salary
package.

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8.1 Recommendation

I have completed my three months internship program. During this time I have found some scope
for the development of Southeast Bank Limited. There are some opinions for the future
development:
The authority should recruit more employees to serve the customers.
They can recruit experienced employee as well as fresh graduate.
The salary of the worker need to be rise, as a result experienced people from
other similar company will be attract to join Computer Services Limited.
As we all know most of the organizations are now emphasizes on a good HR
planning, so there should be a proper HR planning for the corporation to operate
more efficiently in the long run.
Though the Southeast Bank is completely computerized, I would like to suggest
that it can be improved some modules of their software that is currently used.
Personal information should be kept way by using computer software, so that it
will help to get the information more less time consumption.
Southeast Bank should increase more management efficiency, so they should take
management decision more quickly.
Its office place should be make more lucrative decorated by installing the
atmosphere of the work place could be motivate or modernize.
Southeast Bank should involve more social activities which will build an
outstanding & optimistic image to the people.
The promotion strategy of SEBL is not at all effective. The bank should bear in
mind that advertising is the most effective technique to communicate with
people. SEBL could spread its reputation more widely by using different types of
media in the most attractive way. Some people still does not know the bank,
which is a disappointing issue for the bank.
The bank needs to pay to the internship student.

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8.2 Conclusion

From the above chapters, we can see the clear picture of Human resource Practice in the
Southeast Bank Ltd. We can conclude that, the Southeast Bank Ltd. has a formalized procedure of
practice in some arena of human resource management but in other arena the practice is not so
good, not bad(average). The bank follows the theoretical procedure for recruiting and selecting
the employees, but it does not follow the theories like a blind person.

The bank has a good record of training its employees from its own training institute or from

outside. Though in the training section, data for only one year is provided (Hard copy of records

of previous years were not available), according to the HRD the bank is increasing the total

number of trained employee year by year.

But the bank could not take necessary care in other aspects of the Human Resource Management.

Though it has an average practice of motivating employee through giving increment &

incentives, it is a poor/weak practice of motivating employees. It tries to full-fill the love and

safety needs, but most of the time the bank cannot provide these motivational things because of

some internal problems.

In performance appraisal and reward system the Southeast Bank Ltd. has a great problem.

Though it has a performance-evaluating unit, this unit mostly performs the duty of an invigilator

rather than a performance evaluator. On the other side, increment cannot be a good reward for all

situations, but the bank is providing these types of rewards all the time.

The bank is in quite a good condition in maintaining its benefit package. The bank provides

enough benefits for its employees and these benefits sometimes work as motivators besides the

increment.

As there is not enough data on the compensation packages of the bank, it is very difficult to

conclude anything about the compensation system. One thing should be marked that, the bank

thinks that the compensation package is satisfactory to the employees without any statistical base.

And we can find that the bank does not have any practice of Human Resource Survey, which

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is a negative point for the banks Human Resource Department. From here, we can have a

partial picture of the HRM practice in our country. So the objective of the repot is partially

fulfilled. If the overall picture of HRM Practice in the country is like that in the Southeast Bank

Ltd. the scenario is not so satisfactory and needs a lot of improvement.

According to the HR officer of the Southeast Bank Ltd. this problem is because the few

specialists in HRM normally stay in the country rather go abroad because of attractive job. For

the greater improvement in this area, not only these persons are needed to stay in the country but

also more specialists in Human Resource Management are required.

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