HR Practices in Bangladeshi Garment Industry

A Study on
Ventura (Bangladesh) Ltd, Clifton Group.
Plot: 65-69, Sector: 02, Karnaphuli Export Processing Zone (KEPZ), North Patenga,
Chittagong, Bangladesh.

(THIS REPORT IS SUBMITTED FOR THE PARTIAL FULFILMENT OF THE DEGREE OF MASTERS OF
BUSINESS ADMINISTRATION WITH A MAJOR IN HUMAN RESOURCE MANAGEMENT)

Prepared By

Amlan Das
Student ID. 1502120802050
Program: MBA (HRM)
Batch-21st, Section: B

Supervised By

Ms. Kainatun Nur

Lecturer, Faculty of Business Administration.

Date of Submission: 20 February, 2017

Faculty of Business Administration

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 LETTER OF TRANSMITTAL

Date : February 20, 2017

To
Ms. Kainatun Nur
Lecturer
Faculty of Business Administration,
Premier University,
Chittagong.

Subject: Request for Approval of Internship Report.

Dear Madam,
I have completed the Internship as a course requirement of MBA program and I am greatly
impressed by the submission of Internship report about the topics “HR Practices in
Bangladeshi Garment Industry: A Study on Ventura (Bangladesh) Limited, Clifton Group”.
The duration of the report was three months. I have conducted my job with Ventura & gained the
knowledge about activities of factories.

I am very glad to you because you assigned me to prepare this report. In this report, I have used
primary and secondary information. I have collected information by direct interviews and
discussion with top-level management and middle-lower-level officials.

I hope that my report will meet your standard and oblige thereby.

Yours Faithfully

Amlan Das
Student ID.: 1502120802050
Program: MBA (HRM), Section: B
Faculty of Business Administration, Premier University, Chittagong.

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 ACKNOWLEDGEMENT

At first, I am grateful to almighty to complete the Internship report successfully from the
beginning. I am obligated to my supervisor & best wishers. I would like to mention the name of
my supervisor, Ms. Kainatun Nur, Lecturer, Faculty of Business Administration, Premier
University for her frankly behavior, suggestions & guidelines to complete the internship and
preparing the report. I would like to give special thanks to Mr. Miftaul Hasan (Manager HR &
Compliance), Mr. Nurul Islam (General Manager-RnD & Supply Chain), Mr. Babul Kanti Sarker
(General Manager-Quality & Compliance) of Ventura (Bangladesh) Limited, Clifton Group for
giving me an opportunity to complete the Internship Report.

I could not get the relevant data of my topic without their kind consideration & approval. I am
grateful to them because of their recognition to conduct the Internship Report in Ventura
(Bangladesh), Ltd. who supply me the various relevant data and so on.

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Table of Content PAGE
EXECUTIVE SUMMERY 6
CHAPTER 1: ORGANIZATIONAL STUDY 7
1.1 Quick Facts about Ventura 8
1.2 Factory Details Information 10
1.3 Objectives of the Study 12
1.4 Methodology of the Study 13
1.5 Scope of the Study 13
1.6 Organogram Chart 14
1.7 SWOT Analysis 15
CHAPTER 2: TOPIC STUDY 16
2.1 HRM Practice 17
2.2 Good HR Practices in RMG Sector 18
2.3 Challenges of HR Practices in RMG Sector 19
CHAPTER 3: HRM PRACTICES IN VENTURA 21
3.1 Human Resource division of Ventura 22
3.2 Vision of HR & Administration Division 22
3.3 Work Flow of HRM 23
3.4 Employee Recruitment Policy 24
Worker Recruitment Policy 26
Recruitment Process 28
3.5 Job Satisfaction, Pay & Billing System of Ventura 33
3.6 Performance Appraisal 34
3.6.1 Parameter of Performance Appraisal of workers 35
3.6.2 Parameter of Performance Appraisal of Office Staffs 35
3.7 Time Keeping System 36
3.8 Rules Regarding Leave, Absent, Late In, Short Leave, Holiday,
Maternity Leave and Benefit 36
3.9 Rules regarding OT (Over Time) Hours, Rate & Payment 37
3.10 Provident Fund, Insurance & Compensation 37
3.11 Resign & Resign Procedure 38
3.12 Termination Process & Benefit 38
3.13 Discharge 38

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 3.14 Dismiss 39
3.15 Retirement of Worker 39
3.16 Benefit 39
3.16.1 Wages and Benefit 39
3.16.2 Annual increment process 40
3.16.3 Classification of leave 41
3.16.4 Facilities 41
3.16.5 Incentive 41
3.16.6 Promotion in Service 41
3.17 Training & Development 42
CHAPTER 4: LEARNING 44

CHAPTER 5: LIMITATION, FINDINGS, RECOMMENDATION

& CONCLUSION 47
5.1 Limitation 48
5.2 Findings 48
5.3 Recommendation 49
5.4 Conclusion 50
REFERENCE 51

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 EXECUTIVE SUMMARY
Ventura (Bangladesh), Ltd is a 100% export oriented local company which is sister concern
factory of CLIFON GROUP in Karnaphuli Export processing Zone (KEPZ).
It starts commercial production on July, 2013. Within a short time, it becomes very popular to
workers & staffs for its environment, management & operation.

Believes in quality & time and highly emphasizes in maintaining a concerted harmony in its
environment. I have seen a democratic environment of Ventura.
I have a general idea about the management practices of VENTURA while visiting factory.

There is a good relation between workers & management in Ventura (Bangladesh) Ltd. There is
no discrimination in any aspect & it always follows the BEPZA instruction & local labor law.

Through my study, I have found some problems, which is contract by the personnel’s of HR-
Department & other departments. According to That information, I made to followed to prepared
findings & recommendation at the end of the internship report is designed based on my
practiced. I have included some important information, which is very helpful for the organization
or individual according to my study.

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 CHAPTER: ONE

ORGANIZATIONAL STUDY

1.1 QUICK FACTS ABOUT VENTURA

 Latest expansion project of Clifton Group that has more than 25 years of experience in

garments manufacturing in Bangladesh.

 100% export oriented garments manufacturing unit.

 The factory was built and established in 2013 and has been in production.

 Since then currently producing knit undergarments.

 Fully compliant with local & international laws.

 Current production capacity of 275,000 DZ per month (partial).

 Floor space of 360,000 sq. (partial).

 Workforce of 2800 people (partial).

 Currently exporting to USA & European countries.

VISION OF VENTURA

 LEAD THE TEXTILE INDUSTRY IN BANGLADESH.

 MAINTAIN A COMMITTED & SATISFIED CLIENTELE.

 OBSERVE HIGHEST SOCIAL, ECONOMIC & ENVIRONMENTAL STANDARDS.

MISSION OF VENTURA

 TO EARN MAXIMUM SATISFACTION OF OUR VAL UABLE CUSTOMER TO TIMELY

DELIVER THE QUALITY PRODUCTS, AS PER THE REQUIRED STANDARDS.

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OPERATION ENGINEERING

 Industrial engineering

 Automated Machinery

 Continuous improvement practice

 Management workshops on leadership and skills.

 Internal periodic audit.

 Utility management

 ERP based production monitoring.

FACTORY FACILITY

 Free lunch for all employees.

 Free public transport for all employees.

 Present bonus.

 Festival bonus for all employees. (two)

 Provident fund facility.

 Group Insurance facility for all employees.

 MBBS Doctor, medical officer & nurse available at all times.

 Medical centre.

 Child care room.

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1.2 FACTORY DETAILS INFORMATION

a) Name: Ventura (Bangladesh) Limited

b) Location: Plot # 65-69, Sector # 02, karnaphully Export processing Zone (KEPZ),

Chittagong, Bangladesh

c) Years of operation: July 2013

d) Factory type: “C” (Local Investment)

e) Factory Area: 376,000 sft.

f) Canteen capacity: 1200 workers (Per Shift)

g) Factory premises: Full premises owned by same management

h) Product type: Knit Under-Garments

i) Maximum production capacity per month: 275,000 DZ (monthly)

j) How many production lines: 51 lines

k) Major Customers: BHS, LACOSTE, HEMA, MACCY, COLUMBIA, etc.

l) Number of workers: Total workforce 2854

m) Working hours: 8 hours

n) Number of shifts: 1 (one)

o) Salary payment period: Monthly

p) Bank details: Prime Bank Limited, KEPZ Branch, Chittagong

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MACHINERY DETAILS

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1.3 OBJECTIVES OF THE STUDY

The main objectives of the study is to know the major activities, analysis & practices in HR-
Department with a special emphasis on the Ventura (Bangladesh), Limited. That is to enhance
the knowledge about the Human resource activities practiced in an organization and to relate
them with the concepts of the texts of the course ‘Human Resource Management’.

Some specific objectives of the study are follows:

To know the overall HR-Functions of Ventura (Bangladesh), Ltd.

To know about recruitment process of the company.

To know about employees facilities & benefits of the company.

To know about training & development process of the company.

To know about the HR related rules & regulation of the company.

To find out various problems related in the HR-Departments.

To suggest the way to overcome the various problems.

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1.4 METHODOLOGY OF THE STUDY
Both primary and secondary data have been collected for the purpose of the study

Primary Data

The present study was carried out on the opinions of twenty executives (ten from head office and
another ten from the plant level) of the selected company through a set of Questionnaire.

The primary data are collected by following ways,

The primary data was collected by face to face interview by using a detailed
questionnaire
Other informal ways.
Sharing practical knowledge of the desk works
In-depth study of the special cases.

Secondary Data

The secondary data are collected by following ways,

Web Sites
Group Instruction Manual & Business Instruction Manual
Different manuals of the Company

1.5 SCOPE OF THE STUDY

This study is based on practical experience of Ventura (Bangladesh), Ltd. Here all the HR
activities of VENTURA are summarized. Basically this study has completed based on
observations and day-to-day activities of VENTURA.

By this case study we compare the knowledge with the sample company’s human resource
practices.

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1.6 ORGANOGRAM CHART

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1.7 SWOT ANALYSIS

STRENGTH
Strong R & D Power
- Fabrics
- Trims
- Design
WEAKNESS
1. Increasing factory overhead day by day
2. Increasing the price of raw material
3. Long-term agreement with customer which consume long time in production

OPPORTUNITIES
1. Vertical production model (From development to production)
2. Production stability & flexibility (Quality stability & Price Competitive)
3. Role sharing & concentration
4. High international market demand
5. Faster market growth
6. Opportunities to export in development countries in this world

THREATS
1. The power of buyers is too much high. So for many simple problem, the firm fall a big loss
because the buyers can cancel the order
2. The power of suppliers is also high because they don’t have backwards linkage
3. Other thread is India & China in the market with low cost.
4. Political instability
5. Changing Pattern of buyers needs.

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 CHAPTER: TWO

TOPIC STUDY

Practice of Human Resource Management

 Human Resource Planning: Human resource planning is the process by which an
organization ensures that it has the right number and kind of people, at the right place, at
the right time, capable of effectively and efficiently completing those tasks that will help
the organization achieve its overall objectives.
 Job Analysis: Job analysis is the method used to determine what types of manpower
are needed to perform the jobs of the organization. Job analysis is composed of i) Job
description ii) Job specification iii) Job evaluation.
 Recruitment: Recruitment is a ‘linking function’ – joining together those with jobs to fill
and those seeking jobs. There are two broad sources of recruitment – internal & external.
 Selection: The objective of selection is to pick up the right candidate who would meet
the requirements of the job and the organization best.
 Training: Training is the act of increasing the skill of an employee for doing a particular
job.
 Development: Development focuses on future jobs in the organization while training is
present day oriented and job specific.
 Performance Appraisal: Performance appraisal is the process of evaluating the
behavior of employees in the work place.
 Reward: Pay-off for efficient and effective performance may be regarded as reward.
Organization use rewards to motivate people. There are three types of ways to classify
reward: Intrinsic VS extrinsic, financial VS nonfinancial, performance based VS
membership based.

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Good HR practices in RMG sector:
Most of the company now follows the HR norms and compliance. Here I can mention some
examples and good practices--------

 The recruitment and selection process is standard. Most of the company follows the
standard procedure.
 Organization follows chain of command. i.e for the lower level employee the command
and directions provided by higher levels.
 Extrinsic or monetary rewards, findings from base pay, additional pay, incentive pay and
welfare and benefit are presented i.e any payment is made in addition to the basic pay to
the employees for their performance.
 Intrinsic or non-monetary rewards, career development, recognition, work environment,
job security are present i.e any award or recognition is available for the employees for
their performance.
 The organization lacks compliance issues, need to improve.
 Assessment and performance appraisal system is used, that means the performance of
the employees is evaluated in the organization properly.
 The organization practices career and succession planning ,i.e the organization provide
further directions, training for the development of the employees.
 Corporate rules, regulation and culture are available.
 The organization provides health and medical facilities.
 The organization follows labor law.
 Food and conveyance policy is available. That any food or any payment for food is made
to the employees.
 The organization follows the standard leave policy. That means the organization follows
the leave policy in compliance with the labor law.
 There is a policy regarding use of transport. That is the organization provides transport
facility to their employees or any kind of payment is made for the employees.

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Challenges of HR practices in Bangladesh RMG sector:
 Compliances issues: According to McKinsey’s report among the five challenges two are
the HR & compliance related like---
i) Compliance
ii) Supplier performance and work force supply.

After the RANA plaza and Tazreen fashion accident, EU and US buyers were very much
concerned about three safety issues--------
i) Building or structural safety
ii) Electrical safety and
iii) Fire safety

They formed ACCORD (by EU buyers) and Alliances for workers safety (by US buyers) and
inspected every factory in the above issues. But they found most of the factories in good
condition and they closed 2-3% factories for not meeting the compliance of above three issues.
As a developing country, Bangladesh is under close scrutiny by nongovernmental organization
(NGOs) and corporate social responsibility (stake holder) regarding compliance.
Both CSR experts and buyers report improved labor and social compliance standards, but there
is still a broad range of compliance seen across suppliers and many unsolved topics still exist.
Solving these issues and achieving ethical labor standards and sourcing practices are key
prerequisites in Bangladesh’s apparel industry form a McKinney perspective.
Wages: Wages are increasing day by day but still now and near future it is not a threat because
among the all competitors, Bangladesh is the biggest supplier of cheap labor. But we need to
ensure fair wages and incentive schemes.
Skilled Manpower: Investment in education requires broad initiatives. On the other hand, middle
management education should be combined with an effort improve the image of the garment
industry. And on the other hand, vocational training needs to be developed and the appropriate
institution must be established either by the government or via public - private partnership. We
have to provide structured in-house training for both workers and middle management.
Labor relations: Trade Union vs PC committee (Participate Committee) vs WWA (Worker
Welfare Association):
RMG industry in Bangladesh faces the above challenge continuously. In our previous experience
in industry trade union activity didn’t work properly in textile sector, but we are solving this issues
by providing the activity of participatory committee in which workers representative and
management representative attend. So these issues can be solved for both the greater interest
of the workers as well as the investors.
So in RMG sector there are a lot of good HR practices and at the same time these are a lot of
challenges also. If we handle HRM practices efficiently in this sector, this sector will come to a
new dimension.

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 CHAPTER: THREE
HRM PRACTICES IN VENTURA
3.1 HUMAN RESOURCE DIVISION OF VENTURA
Human resources play an important role in today's competitive business environment. VENTURA
is committed to augment efforts in human resources development and also to recruit the best people
to work for the company and grow with it.

OBJECTIVES OF HRD
Offer a wide range of internal and external personnel development programs
On the job training to its employees in developing individual, professional and technical skills
Conducts and organizes extensive training programs
Emphasis on improving the career oriented activities.

The employees of VENTURA believe in a collaborative spirit. They appreciate that working as a team
multiplies the strength of the individuals involved, as well as the impact on the results.

3.2 VISION OF HR & ADMINISTRATION DIVISION

Attract and retain best people
Lean and learning organization
Opportunity and challenge
Development and motivation
Performance based reward and recognition

3.3 WORK FLOW OF HRM

Start

Manpower Plan

Recruitment

Join

Induct

Motivate

Train

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3.4 EMPLOYEE ACQUISITION (HR PLANNING, RECRUITMENT & SELECTION)
3.4.1 Employment Planning (EP)
The process of determining an organization’s human resources needs. By such planning Ventura
ensures that it has the right number and kinds of people, at the right place, and at the right time.
It ultimately translates the organization’s overall goals into the number and types of workers
needed to meet the goals.
EP involves three things:
Forecasting Personnel Needs or Demand for Personnel
Supply of inside candidates
Supply of outside candidates

Forecasting Personnel Needs

It is based on the following factors:

Mission of the organization
Strategic Goals and Objectives
Forecast of personnel requirements
Projected turnover
Quality and skills of employees in relation to what is required if the needs of the
organization changes.
Technological and other changes resulting in increased productivity.

Several Methods to predict employment needs

Trend Analysis: Study of a firm past employment needs over a period of years to predict
future needs. It may be for the whole organization or for each subgroup like sales,
administration etc. However, it provides a simple estimation and ignores many other
factors like sales growth, productivity etc.
Ratio Analysis: A forecasting technique for determining future staff needs by using ratios
between some causal factors (like sales volume) and the number of employees required,
(for instance, number of salespeople.)
The Scatter Plot: A graphical method used to help identify the relationship between two
variables, such as a measure of business activity and your firm’s staffing levels. For
example, Number of students and requirement of teachers.
Using computer to forecast Personnel requirements: determination of future staff
needs by projecting sales, volume of production, and personnel required to maintain this
volume of output, using software packages. The software generates a what-if scenario of
personnel requirements at different level of business activity.

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 Managerial Judgment: Forecast of personnel needs on the basis of managerial judgment
depending upon factors like change in productivity, change in market conditions, etc.
Forecasting the supply of Inside Candidates
Qualifications inventory: Manual or computerized records listing employees’ education,
career, and development interests, languages, special skills and so on, to be used in
selecting inside candidates for promotion.
Personnel replacement Chart: Company records showing present performance and promo
ability of inside candidates for the most important positions.
Position replacement Card: A card prepared for each position in a company to show
possible replacement candidates and their qualifications.
Computerized Information System: A computer database of employees with information
from wide variety of areas related to employee and employment. It usually includes:
 Work experience
 Product knowledge
 Industry experience
 Formal education
 Training Course
 Foreign language Skills
 Relocation limitations
 Career Interests
 Performance Appraisals
 Skills: Type, level etc.
Forecasting the supply of outside Candidates
Employers may adopt the following sources:
Publication of Professional Associations
Publications of employment agencies etc.

3.4.2 Recruiting
When any oversupply of employment observed, HRM must undertake some difficult steps to
severe some of their people from the organization of Ventura.

Finding Internal Candidates

Job posting: Publicizing an open job to employees (often literally posting it on bulletin
boards) and listing its attributes, like qualifications, supervisor, working schedule,
personnel records: pay rate etc. However, the organizations usually don’t post supervisory
jobs.)

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 Personnel records: Information in the personnel records may reveal the potentiality of
existing employees.

Succession Planning
The ongoing process of systematically identifying, assessing & developing organizational
leadership to enhance performance.
Outside Sources of Candidates

Advertising
Employee referrals
Employment Agencies
Schools, Colleges and Universities
Professional organizations
Unsolicited Applicants
Cyberspace/Internet recruiting
Headhunting

Advertising
The employers should address two issues related to ad: the advertising media and the ad’s
construction.
The media: It depends on the positions for which we are recruiting. The varieties of media
may include:
Job posting at the factory gate
Ad in the local newspaper
Ad in the national newspaper
Ad in the international magazines
Ad in the professional journals
Ad in the Internet Construction of the Ad: follow the AIDA (Attention, Interest, Desire and
Action) principle.
Attention: by using heavy margin, background, caption etc.
Interest: crate interest about the job with some interesting features like changing nature,
location, salary package etc.
Desire: mention the required qualifications and skills required.
Action: call for call or write.

Employee referrals
Benefits:
The candidates are likely to be more capable. Because otherwise he/she will be accused.
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 The candidates will get a better and realistic picture about the job. It will increase job
survival.
It is considered a very useful means for hard-to-fill positions. Even some companies
announce reward for referring an employee for such positions.
Disadvantages:
Sometimes it may be backed by the existing employee’s personal interest.
May lead to nepotism.
May minimize the opportunity for diversification in the workplace.

Employment Agencies

Employment agencies act like an exchange for both employers & employees.

Job posting facility for the employers

Access to the database by the employers
CV posting facilities for the candidates
Conducting screening for the employers
Providing training on how to prepare CV, face interview etc.
Facilitate employer in preparing job advertisements etc.

Schools, Colleges and Universities

The employers may contact the management of the institutions or the placement center (if
there is any) for sending resumes or the candidates to their organizations. They also may
visit campuses and make a spot recruitment.

Professional organizations
Many professional Organizations like, Nurse’s Association, MBA Association, labor unions
etc. operate placement services for their members.

Unsolicited Applicants
Unsolicited applications, whether they reach the employer by post, e-mail, telephone, or in
person, constitute a source of prospective applicants

Cyberspace/Internet recruiting
Benefits:

It is rather a very cheap means of advertisement.

The information about the candidates may be collected quickly and uniformly.
It provides more information about the company itself to the candidates.

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3.4.3 Foundation of Selection
The Selection process
A standard and comprehensive selection typically includes the following steps:
Initial Screening interview
Completing the Application form
Employment test
Comprehensive interview
Background Investigation
A conditional Job offer
Medical or physical examination
Permanent job offer.

Initial Screening
The screening of inquiries
Screening the candidates on the basis of inadequate or inappropriate education,
inadequate or inappropriate experience, gap in employment history, many brief jobs, poor
result etc.

Preliminary screening interview

Sharing detailed job information, salary range etc with the candidates so as to unqualified
or disinterested candidates leaves the process. It also provides an opportunity to make an
initial assessment about the candidates’ level of knowledge, skills and motivation about
the job.

Completing the Application form

This is a company specific employment form used to generate specific information the company
wants. It includes:
- Personal information,
- Work history,
- Education & training,
- Specific skills and their level etc.
- Information about drug abuses, criminal offences etc.
The applicant signs the form.

Employment Test
The employment tests may include the following tests:
Test of cognitive abilities
Tests of Motor and physical abilities
Tests of measuring personality, honesty and interest
Achievement Tests
Simulation tests

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Test of cognitive abilities
Cognitive tests include tests of general reasoning ability (intelligence) and tests of specific
abilities like memory and inductive reasoning.
Intelligence test: Intelligence tests (IQ) are tests of general intellectual abilities. They
measure not a single trait but rather a range of abilities, including memory, vocabulary,
verbal fluency and numerical ability.
Specific cognitive abilities: There are measures of specific mental abilities, such as
inductive and deductive reasoning, verbal comprehension, memory and numerical
abilities.
Tests of Motor and physical abilities
The test of Motor abilities measures the abilities like finger dexterity, manual dexterity,
reaction time etc.
The physical abilities tests measure static strengths (such as lifting weights), dynamic
strength (like pull-ups), body coordination (as in jumping rope) and stamina.
Tests of measuring personality, Honesty and interest
Factors like motivation and interpersonal skills are very important for job performance. As a
consultant put it, “most people are hired based on qualifications, but most are fired for
nonperformance. And nonperformance (or performance) “is usually the result of personal
characteristics, such as attitude, motivation and especially temperament.”
Personality tests
The personality tests measure different dimensions of personality of a person. It may
include:
Projective tests by using blurred pictures
Thematic Appreciation tests
Sentence Completion
Story completion etc.
Graphology

Achievement tests

Achievement tests measure what a person has learned. They measure the “job knowledge” in
areas like economics, marketing, or personnel etc.

Simulation tests
Some employers emphasize on the job itself and test the abilities of the candidates concerning
the job they have applied for. To test this they may use
Work samples
Management Assessment centers
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Work Sampling

The work sampling techniques measure how a candidate actually performs some of the
job’s basic tasks. Designed properly, work-sampling tests exhibit better validity than do
other tests designed to predict performance.
The procedure:
Choose several tasks crucial to performing the job and test applicants on samples of each
task.
An observer monitors performance on each task and indicate on a checklist how well the
applicant performs.

3.4.4 Management Assessment Centers

A management assessment center is a two to three-day simulation in which 10 to 12 candidates
perform realistic management tasks (like making presentations) under the observation of experts
who appraise each candidate’s leadership potential. The center itself may be a plain conference
room or a special room with a one-way mirror to facilitate observation.
Typical simulated exercises include:
 The basket
 Leaderless group discussion
 Management games
 Individual presentations
 Objective tests
 The Interview
The Comprehensive Interview
An interview (selection interview) is a procedure designed to predict future job
performance on the basis of applicant’s oral responses to oral enquires.
A research showed that 99% employers use interviews for employee selection.
HRM interviewers, senior managers within the organization, a potential supervisor, and
potential colleagues and so on, may interview the applicant.
Structured and well-organized interviews are more reliable.
The interview is most valid in determining an applicant’s organizational fit, level of
motivation and interpersonal skills.

Background Investigation
The process of verifying information of those applicants who appear to offer potential as
employees. This may include:
Contacting former employers to confirm the candidate’s work record and to obtain their
appraisal of his or her performance,
Contacting other job related and personal references,
Verifying the educational accomplishments shown on the application,
Checking credit references and criminal records.

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 Researches indicate that nearly half of all applicants exaggerate their backgrounds or
experiences

Conditional Job Offer

The offer made to the individual, which will become permanent after passing required
medical and physical tests

Medical/Physical Examination

An examination indicating an applicant is physically fit for essential job performance. Purposes
are:
To ensure that the person is physically fit for the job to be done.
To show that minimum standards of health exist to enroll in company health and life
insurance programs.
To provide base data in case of an employee’s future claim of injury on the job.
The employers pay for the exam.

Job offer

Those who perform successfully in the preceding steps are now considered to be eligible
to receive the employment offer.
The actual hiring decision should be made by the manager in the department where the
vacancy exists, because,
First, the applicant will eventually work for this manager, and therefore, a good fit between
boss and employee is necessary.
Second, if the decision made is not correct
However, HRM representative may send the official letter. As a matter of curtsey, all the finalists
who did not get the job should also be notified that they didn’t get the job.

3.5 JOB SATISFACTION, PAY & BILLING SYSTEM OF

VENTURA
In VENTURA employee’s job satisfaction is high. For this reason lockout, work break & strike are
not ever seen. It provides so many facilities for workers satisfaction. Those are:

Bonus
In VENTURA every employee get bonus for job satisfaction. Employee get festival bonus two
times in a year. Every employee get bonus as per their basic salary. If anyone avail leave then
he/she also get yearly bonus.

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Medical facilities
Company provides first aid box for all employees. And monthly it pays TK. 560 for each worker.

Job security
All employees are enjoying job security in every department.

Incentives
Sometimes company gives some amount to the employee on yearly benefit. Not only has that
company also given incentives in several ways. That’s are-
Attendance bonuses are paid in every month to each employee for regular present the job.
Free medical treatment is provided to workers in every year.
After selection the best or highest qualified worker must pay reward.

Increment
Every year all employee get increment as per their performance & duration of service period.
Sometimes company gives special increment for employee’s extra ordinary performance.
VENTURA pays wages to its employee within 7th working days of every month. At the same
time OT & Attendance Bonuses payable added to the wages sheet & pay at the same date.
Industrial dispute do not exist in VENTURA. Its working environment is always free from political
influence. So, industrial relationship is good here.

3.6 PEERFORMANCE APPRISAL

There are 3 types of techniques for appraisal. The techniques are as follows:

1. ACR Method (Annual confident Report)

VENTURA maintains ACR for each employees provided by the manager of respective
dept. On the basis of this report the management takes decision regarding promotion,
increment etc.
2. Consultative Method
Sometime it made appraisal by discussing with manager & take decision of promotion,
increment etc.
3. Joint Appraisal
When both ACR & Consultative method of appraisal are in use then refers to joint
appraisal.
Performance appraisals are used for many purposes in VENTURA (Bangladesh) Ltd. Including:
1. Deciding promotion
2. Determining transfers
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 3. Making termination decision
4. Identifying training needs
5. Providing employee feedback
6. Determining reward allocation
7. To deter mine the increment
3.6.1 Parameter of Performance Appraisal of workers

Standard Marks for the following parameters

1. Excellent = 80-100 (Out of 100)
2. Good = 60-79 (Out of 100)
3. Avg. = 40-59 (Out of 100)
Total Marks = 600

Performance Excellent Good Avg. Remarks

Measure

1. Productivity

2. Quality of work

3. Skill

4. Attitude

5. Attendance

6. Target Achievement

3.6.2 Parameter of Performance Appraisal of Office Staffs

Position Technical Trait People Business

Knowledge Handling / knowledge &
Leadership dynamics
Personal Officer 20% 10% 15% 55%

In-Charge 20% 5% 10% 65%

Manager 2% 3% 25% 70%

GM/DGM 15% 15% 35% 35%

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3.7 TIME KEEPING SYSTEM
General working hour: 8.00 am to 5.00 pm.
Lunch hour: 1.00 pm to 2.00 pm.
If over time: 5.00 pm to 7.00 pm.
All workers are given punch card, which has to be punched in electronic Time Keeping Machine
during in time & out of time. This card shows the daily attendance as well as monthly attendance
of an individual worker. The office staff has to sign on the attendance sheet.
VENTURA will introduce soft touch time keeping system very soon, which is based on
attendance & pay roll software.

3.8 RULES REGARDING LEAVE, ABSENT, LATE IN, SHORT LEAVE,

HOLIDAY, MATERNITY LEAVE AND BENEFIT
Leave
As per Labor Law & BEPZA Law instruction, Ventura (Bangladesh), Ltd. follows the mentioned
types:

1. Casual Leave: With full wages 10 days workers get causal leave.

2. Sick / Medical Leave: With full wages 14 days workers get sick/medical leave

3. Earned Leave: With full wages pay for every completed year of service –One day for every
22 days of work performed by him during the previous period of 12 months.

4. Festival Leave: Every employee shall be allowed at least 11 days festival holiday with pay
in calendar year.

5. Maternity Leave: A female worker who has completed a minimum of six months service
shall be entitle, on application, to maternity leave with pay for eight weeks before & eight
weeks after the confinement on ground of maternity (child birth). This benefit may be
granted only twice in the whole period of service of female employee.
Maternity Benefit is 112days payable on two installments.

Absent
If any employee absent without providing information or not taking leave when his/her wages will
be deduct for absent as per his/her per day basic wages.

Late in & Short Leave

If any employee comes late three timed in a month he/she will not entitle for attendance bonus.
For late attendance employee can submit to HRD to mention the cause of late in a late approved
his/her department head.
In case of emergency, employee can use short leave for left the factory.
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3.9 RULES REGARDING OT (OVER TIME) HOURS, RATE & PAYMENT
After normal working hours if it is required for emergency production, then OT (Over Time) will be
executed as per instruction.

OT Hours: 2 hours per day.

Maximum OT per month: 48 hours.

Basic
OT rate = x2
208

26 days x 8 hours = 208 hours.

Payment: Paid with wages by adding wages sheet.

3.10 PROVIDENT FUND, INSURANCE & COMPENSATION

Provident Fund: Contribution is applicable at a rate, which is 8.33% of basic salary pay.
Insurance: VENTURA maintains BGMEA group insurance for workers.
Compensation: Employees are entitled for compensation if they are injured during working in
VENTURA factory & outside for factory i.e. during working hour.

3.11 RESIGN & RESIGN PROCEDURE

1. A permanent employee shall be required to give one month notice if he/she wish to resign
from the service of the company his/her departmental authorization.
2. An employee who resign from service of the company but fails to give the required notice
shall surrendered pay in lieu of such notice thereof.
3. The company shall accept the registration if due notice is given or due payment in lieu of
notice is made or pay is surrendered in lieu of such notice.
4. Notwithstanding anything started above no. of employee against whom a disciplinary
procedure is pending shall resign from the service of the company unless 30 days have
elapsed from the drawing up to the departmental proceeding.
5. An employee who resigns from the service, company can accept the resign letter in that
time or reject the letter & want more time from the employee due to company’s
importance.

Every VENTURA employees are following these rules & resign procedure, which are above
mentioned.

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3.12 TERMINATION PROCESS & BENEFIT
In this company, worker terminated by the higher authority. When company doesn’t get more
output from the worker then authority terminate the worker. Not only that for misbehave &
dishonesty, worker are terminated from this company.

For termination of the service of a permanent/temporary employee by the employer or authority,

30 days notice in case of permanent worker & 15 days in case of temporary worker shall be paid
in lieu of such notice provided further that the worker whose employment is so given by his
employer provided that pay for 30 days or 15 days as the case may be, shall terminated, shall be
paid compensation at the rate of one month’s pay for every completed year of service or for any
may be entitle to under the terms of employments.

3.13 DISCHARGE
Discharge is like termination but it has some different view. When any employee or worker
unable to work because of his/her physical or mental inability then authority decided to discharge
the worker from his/her job.

3.14 DISMISS

Company dismisses an employee w ay alt found regarding his/her work, behavior, or any things
contrary to company’s rules & regulation. It needs a procedure to complete the task. The
procedure is
a) Giving letter of show cause.
i. Show cause with suspension.
ii. Show cause without suspension.
b) Form inquiry committee.
c) Analysis of inquiry report
d) Take decision

3.15 RETIREMENT OF WORKER

For retirement, Ventura (Bangladesh), Ltd. follows the rules of Bangladesh Labor Law. And HR
maintains those rules by bellow mention:
i. Every worker must be retired when his/her age will be above 57 years.
ii. From age estimation certificate, worker’s date of birth prove as retirement period.
iii. As a company rules every worker entitle all kinds of benefit.
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3.16 BENEFIT
3.16.1 Wages and Benefits:
Workers pay and other benefits from the company are given below:
(a) Salary / Wages: At Ventura (Bangladesh) Ltd, the current monthly minimum wages is
taka equivalent to USD 70.
(b) Wages calculation: Example: If gross salary is 5600taka, than (5600taka - medical
allowance 560taka) =5040 / 1.4 = 3600taka Basic salary, & House rent = 3600 x 40%=
1440taka.
(c) Sick Leave allowances: In case of approved sick leave BEPZA instructions are followed.
(d) Overtime: Any work beyond 8 (Eight) hours is be treated as overtime. This overtime
payment is made with monthly wages. Mentionable here that maximum total working
hours a day are 10 hrs, and that of per week is 60 hrs. Any change of it requires special
permission from BEPZA.
(e) Overtime Allowance: A worker gets double the basic pay for working overtime beyond 8
(Eight) hrs a day.
(f) Overtime Calculation: Basic pay / 208*2 actual overtime hours in a month (26 working
days * daily 8 hours regular time)
(g) Festival Bonus: Every employee, having completed a minimum six months continuous
service, shall be entitled to 2 (Two) basic wages as festival bonus in a year payable in 2
(Two) installments.
(e) Provident Fund: Every worker is eligible to be a member of this fund. In every month
8.33% of basic pay is deducted from each member and equivalent amount from the
company is deposited to the provident fund account. As per PF rules deposited amount is
returnable with interest. After a certain period of time, loan may be granted. Each
company operating in EPZ shall establish a provident Fund for permanent employees. As
per law a separate registered Trustee Board controls this fund.
(f) Insurance: VENTURA maintains group insurance in BGMEA both for workers & office
staffs.
(g) Health, Security & Welfare: The Company provides a clean safe and healthy working
environment in the factory as per law of the country.

3.16.2 Annual increment Process:

Annual increment is given in accordance with BEPZA instructions 10%.

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3.16.3 Classification of Leave:
Festival Leave
Casual Leave
Sick Leave
Earned Leave
Maternity Leave

3.16.4 Facilities:
a) Lunch: Company provides lunch at a subsidized cost every employee.

b) Medical: Company provides free medical facilities to the worker. Normally one doctor and
two nurses for every 1000 worker.

c) Leave Encashment: Any worker who does not enjoy portion of earned leave or leave not
granted as per rules, may en-cash such earned leave in the following year.

3.16.5 Incentive:
a) If any worker in any month is not absent for a single working day (except festival holiday,
authorized leave and authorized sick leave) then he/ she gets attendance bonus.
b) In addition, special transport subsidy is also given to the workers.
c) From time to time other incentive bonus, viz PIB, and Special attendance bonus may also
be given.

3.16.6 Promotion in Service:

a) A worker is considered for higher position subject to performance & efficiency.
b) Proposed for promotion after two year of every worker according to seniority.

3.17 TRAINING & DEVELOPMENT:

TRAINING TYPES
1. Schedule Training under certification of every month.
2. Special training program when arise any problem during productions.
3. Training Program for Newly joint workers and staffs.

TRADING METHOD
 Certificate given as per performance of the examination indicated Grade.
 Total Grade Five but if any attendees of training get below 60% marks will not get any
certificate.
 Grade details:

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 A+ 80-100% Excellent
A 70-79% Good
B 60-69% Satisfactory
55-59 P C 50-59% Pass
F Below 50% Fail

SHORT TRAINING WHEN APPOINTED

Factory conducts various types of training for their workers in induction training.
Factory has a system of training when production workers appointed as a Factory worker in
related workstation. In the previous, only maintain it for operation. But Factory started to maintain
the record for all workers including all production workers (asst. operation, finishing packer & iron
man, cutting marker & cutter), quality and maintenance or technicians. Related department in
charge/manager take the interview. He/ She took them for his department if candidate make him
satisfactory.

SHORT TRAINING PROGRAM

 At first all workers are invited for interview with advertisement in required sections.

 Candidates come for an interview for related post as have previous experience.

 Factory related department head or nominated person can take the interview and took
related fields for practical which position candidate applied for, if the candidates have in
a satisfactory level, department in charge take the candidate as an employee of the
department. If candidate have linkages in which position he applied for he just need
training for proper work in the line or related workstation. Factory management must
add all details in the related register. In the register should include Name, Education,
the Position of Work or Workstation, Experience etc.

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 CHAPTER: FOUR

LEARNING
First week I was introduced to VENTURA. I had to visit different managers and
departments to figure out how the garment factory works and how all the department
works. How Brands Supply chain, Brand, Customer Development are interrelated. As an
intern of HR I had gone through HR activity in detail. At the same time how to inter-relate
all the data’s from several departments and report it to the HR head.

My research is mainly focused on qualitative study based on observations of the whole

garments’ HR department throughout my whole experience one very crucial element that
I noticed is that the labors are the heart of the garments industry. But ironically the
turnover rate was very high. A high employee turnover rate can be detrimental for any
organization. High turnover rates can create a lack of staff to complete essential daily
functions of a company. In addition, high turnover rate can cause a loss of productivity as
new employees take some time to get up to speed, particularly in complex jobs.

During my internship period I also reviewed the HR policies of the company.

As an intern I received a lot of support from my superiors and as a result, I had the
opportunity to be involved in most of the sectors of the factory. I was actually involved in
the recruitment process. I would sit beside the HR personnel and assist him and observe
how the whole thing is being operated.
I also screened the CVs of the candidates; short listed them and called them for
interview. In case of labors their CVs are not the usual formal CV but rather their national
ID card or their educational background mainly covers it. Arrange interview dates, time
and venue and panel for interview and coordinate accordingly.

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 CHAPTER: FIVE
LIMITATION, FINDINGS, RECOMMENDATION &
CONCLUSION
5.1 LIMITATION OF THE STUDY
Ventura (Bangladesh), Ltd. employees are very much cooperative with me to prepare my report.
There were a number of limitations conducting survey and preparing this report.

Due to inexperience and lack of proper planning & feedback in time it was really difficult
to understand what to do, how to do & when to do.
Cost and time constraints did not allow for a more extensive data collection.
Omission of some important information due to response biases and time constraints.
Company personnel have not disclosed all the information needed to prepare the report
in to lay best manner due to their company’s policies.

5.2 FINDINGS
A garment industry’s success lays in its strengths of financial, technical, managerial, personnel,
directorial & entrepreneurial source of raw materials and skilled workforce. VENTURA is
successful in almost every sphere mentioned above.
i. Ventura’s overall HR function is not up to the mark.
ii. There is no proper job recruitment process, which is aspect as an extra stress of the HR –
Department.
iii. Employee does not get more benefit & facility.
iv. VENTURA IT sector provide information about RMG market & help to contact with buyer on
time. But it’s IT section is not more efficient for update information system.
v. VENTURA is trying its best to ensure spacey production floors, lunch & Tiffin Park for
workers, canteen for management staff.
vi. There is on sufficient employee according to workload & sources for performing the HR
activities.
vii. There is no proper evaluation in the ACR according to superior to inferior.
viii. There is no strong observation of the authority that causes of misconduct.
ix. There is no strong suggestion among the personnel’s, which is not exchange through the
management and HR – Department.

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 x. Safety measurement is another crying need for RMG industry; VENTURA provides multiple
exits for emergency from its production floors, fire extinguisher bottle & fire alarm to save
the workers from accidents.

5.3 RECOMMENDATION
On the basis of these problems, I would like to recommend the following for VENTURA
(Bangladesh) Ltd.

The company should follow formal job analysis and human resource planning to
ensure the right number of people, right kind of people at the right place and at the
right time.
The company should avoid long procedure recruitment and selection process.
Manager should take positive action to increment the salary in yearly basis.
VENTURA should take extensive bonus program to build a positive image among
their employees.
The existing infrastructure of VENTURA should be developed. This is in order to meet
the rising demands of its growing customer base.
Communication between VENTURA management and employees should be made
easier.
Communication between workers and team leader should be made easier and
efficient.
For ensuring the best performance from employees and to develop their future
potentiality the company should arrange training and development program
continuously.
The authority may avoid the nepotism to enhance the firm recruitment.
The company should provide equitable and justifiable salaries and wages to tee all
kind of employees and workers.

5.4 CONCLUSION
Finally, it is said that I have tried to provide all my best efforts to prepare this report in such a
manner that the report contains least level of technical knowledge to understand the main
contents of this report.

VENTURA (Bangladesh) Ltd. is a 100% export oriented local company. It has positive
contribution to the economy & society of Bangladesh. It emphasized in maintaining a concerted
harmony in its working process and its environment. It provides very good working environment
for its employees.

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I can also say that the HRD position of VENTURA is performing their job very effectively and
efficiently. In fact all departments have equal responsibility to increase productivity through low
cost and sustain well reputation of organization.
The executives are very eager and promising to their job. Though there are some who are not
much committed.

There is no doubt to say that VENTURA (Bangladesh) Ltd. has created a good reputation in the
world market through its quality products and services.

Lastly, I hope day by day development of VENTURA, its operation, its employees & one of the
best fashion wear based private & local organization.

REFERENCES
Company Profile of Ventura (Bangladesh) Limited.
Labor Law of Bangladesh.
BEPZA Instruction.
Personnel / Human Resource Management.
www.google.com
www.academia.edu

www.wikipedia.com

Professor Dr. Abdul Awal Khan, & Dr. M.A. Taher “HUMAN RESOURCE MANAGEMENT
AND INDUSTRIAL RELATIONS”, Abir Publications, 2011.

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