British American Tobacco

Introduction
British American Tobacco Bangladesh is one of the oldest and largest
multinational companies operating in Bangladesh. The UK-based
British American Tobacco Group holds 65.91% share in the company.
The Government of Bangladesh owns 28.7% through several of its
agencies, while 5.39% is owned by other shareholders.

British American Tobacco Bangladesh began its operations in the sub-

continent in the year 1910 as Imperial Tobacco Company Ltd. Post
1947After independence, in 1972, Bangladesh Tobacco Company (BTC)
was formed with British American Tobacco holding majority of the
shares. In March 1998, Bangladesh Tobacco Company changed its
corporate name into British American Tobacco Bangladesh proclaiming
its common identity with other operating companies in the British
American Tobacco Group.

At British American Tobacco Bangladesh, the key factor to their

sustainable growth is human resource. Therefore, they have always
been committed to good employment practices and have set out the
framework of our Employment Principles on workplace practices,
employee relations and employee human rights.
As we know it is an multinational company so this report includes the
theoretical framework of various concepts of Human Resource
Management and also contains the practices of Human Resource
management in British American Tobacco Bangladesh for the purpose
of find out the benefits and problems they are facing from their
widespread work force.

Objectives of the study:

Managing a successful business involves acquiring, developing and
maintaining a wide range of resources. Any organization needs good
employee who have the right skill to achieve the company’s aims and
objective. Human recourse management is the business function that focuses
on the people aspects of an organization. It ensures the efficient
management of people in the business by recruitment and selection process
from different country. In this report we describe the recruitment and
selection process of British American Tobacco Bangladesh and the
benefits and problems they are facing from their wide-ranging work
force.

Methodology of the study

Both primary and secondary data have been collected for the purpose
of the study.

• Primary Data:
The primary data are collected by following ways:
1. The primary data was collected by face to face interview
2. Other informal ways.

• Secondary Data:
The secondary data are collected by following ways:
1. Web Sites
2. Group Instruction Manual & Business Instruction Manual

Limitations of the study

• 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.

Brief description of British American Tobacco

British American Tobacco Bangladesh is one of the oldest and largest
multinational companies operating in Bangladesh. The UK-based
British American Tobacco Group holds 65.91% share in the company.
The Government of Bangladesh owns 28.7% through several of its
agencies, while 5.39% is owned by other shareholders. British
American Tobacco Bangladesh began its
operations in the sub-continent in the year 1910 as Imperial Tobacco
Company Ltd. Post 1947After independence, in 1972, Bangladesh
Tobacco Company (BTC) was formed with British American Tobacco
holding majority of the shares. In March 1998, Bangladesh Tobacco
Company changed its corporate name into British American Tobacco
Bangladesh proclaiming its common identity with other operating
companies in the British American Tobacco Group. At British American
Tobacco Bangladesh, the key factor to their sustainable growth is
human
resource. Therefore, they have always been committed to good
employment practices and have set out the framework of our
Employment Principles on workplace practices, employee relations and
employee human rights.
Employment Planning, Recruitment & Selection Policy
Practiced By
British American Tobacco Bangladesh

Employment Planning
Every organization has employment planning. BAT has also its
employment planning. They usually forecast their personnel needs
based on their mission, strategic goals & objectives & technological
and other changes resulting in increased productivity. Although there
are several methods to predict personnel needs, but they use
managerial judgment because it gives the more
real world scenario for personnel needs. They think that the other
methods can not give the accurate situation of the personnel needs.
These are basically graphical methods, which can not measure the
actual personnel needs. But managerial judgment method depends
upon the change in productivity, market conditions etc.

Recruitment Policy
British American Tobacco Bangladesh has been in e-resourcing since
2002. They focus on e-based advertisement for more visibility and
transparency beside the conventional print media. All recruitment
related notices are posted on the www.bdjobs.com website.
Candidates are required to fill up the blank resume format provided in
the website. A well-structured and systematic selection procedure is
followed to get the most suitable candidate. Following the
selection procedure, pre-employment medical examination and
reference checks are done. They entertain application from recognized
universities from home and abroad.
Applicant must be a citizen of Bangladesh.
They encourage students with good academic track record to apply.
They are not prejudiced against race, sex, religion, age etc. Positions
will be offered to the candidate on the basis of his/her ability and the
requirement of the company.
Selection Process

• If the application is successful, They will be invited to a preliminary

interview which will be taken by a member from the function to which
they have applied and a member of the Human Resource team.

• As a final candidate, they will be invited to a specifically designed

British American Tobacco assessment centre. This will provide them
opportunity to demonstrate their skills and suitability through their
performance in a number of participative and individual exercises.
They will also have the opportunity to meet managers and to gain first
hand experience of what it is like to work for British American Tobacco
Bangladesh. Regardless of the outcome, participants find it a unique
opportunity to demonstrate their strengths.

• If they get through the Assessment Centre, they will be

recommended to the respective Heads of Functions for a final
Interview.

• They are committed to keep them informed of their progress through

every step of the selection process.

Employee Socialization, Training &Development,

Performance appraisal

Socialization

Socialization is a process of adaption. Organization entry socialization

refers to the adaption that takes place when an individual passes from
outside the organization to the role of an inside member.

Socialization can be conceptualized as a process made up of three

stages:

1. Pre-arrival stage: This stage explicitly recognizes that each

individual arrives with a set of organizational values, attitude, and
expectations.
2. Encounter stage: Here the individuals confront the possible the
dichotomy between their expectations and reality.

3. Metamorphosis stage: Finally, the new member must work out

any problems discovered during the encounter stage.
The organization gets higher productivity, greater employee
commitment, and lower turnover rates through socialization.
Employees achieved reduced anxiety, increased awareness of what is
expected on the job, and an increased feeling of being accepted by
their peers and bosses. When socialization works, employees receive
the confidence and satisfaction what comes from feeling that they are
members in good standing in the organization.

Training and Development

Training: 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. To make
training a success, a trainer
should take care of the following points:
 Make learning meaningful.
 Make skills transfer easy and
 Motivate the learner

Employee Training Method

On-the-job Training: It means having a person learn a job by actually

doing it.

Advantages:
 Relatively inexpensive
 Trainees learn while producing
 No need off-site facilities

Drawbacks:
 Low productivity while the employees develop their skills
 The errors made by the trainees while they learn.
Apprenticeship Training: It traditionally involves having the learner
study under the tutelage of a master craftsperson.

Informal Learning: This learning process is not determined or

designed by the organization. But the organization may ensure it by
creating a learning environment in the organization.

Job Instruction Training: Listing each jobs basic task, along with key
points, in order to provide step-by-step training for employees.

Lectures: The most simple and quick way to provide knowledge to

large groups of trainees.

Simulated Training: It places the trainee in an artificial environment

that closely mirrors actual working conditions.

Development- Any attempt to improve current or future management

performance by imparting knowledge, changing attitudes, or
increasing skills.
Any effort toward developing employees must begin by looking at the
organizations objectives. The objectives tell us where were going and
provide a framework from which our managerial needs can be
determined.

Employee Development Method

Managerial On-the-Job Training: The development of employee’s

abilities can take place on
the job. It includes:

• Job Rotation: It involves moving a trainee from department to

department to broaden their understanding of all parts of the business
and test their abilities.

• Coaching Approach: The trainee works directly with a senior

manager or with the person they are to replace.

• Action learning: Here the management trainees are allowed to

work full-time analyzing and solving problems in other departments.
Off-the-job Training: It includes:

• The Case Study Method: Here the manager is presented with a

written description of an organizational problem to solve in a
discussion with other trainees.
• Management Game: The manager presented with a computerized
decisions regarding but simulated situations.

• Outside Seminars: Many organizations now are using this popular

method on various
aspects of business and management.
• Behavior Modeling: It involves the Modeling-Role playing-Social
reinforcement- Transfer of training.

Performance Appraisal
Evaluating an employee’s current and/or past performance relative to
their performance standards.

Importance:

 It does little good to translate the employer’s strategic goals into

specific employees’ goals

 It develop a plan for correcting any deficiencies he appraisal might

have
unearthed

 It should serve a useful career planning exhibit strengths and

weaknesses.

 It almost always effects the employer’s salary raise and promotional

decisions.

Methods of Appraising Performance

Graphic Rating Scale Method: A scale that lists a number of traits

and a range of performance for each. The employee is then rated by
identifying the score that best describes his or her level of
performance for each trait.

Alternation Ranking Method: Ranking employees from best to

worst on a particular trait, choosing highest, then lowest, until all are
ranked.

Paired Comparison Method: Compare each employee with each

other employee. It is a matter of combination.

Forced Distribution Method: Similar to grading on a curve,

predetermined percentages of rates are placed in various categories.

Critical Incident Method: Keeping a record of uncommonly good or

undesirable examples of an employee’s work-related behavior and
reviewing it with the employees as predetermined times.

Narrative Forms: It is an essay type method.

BAT’S Socialization Process

In BAT the Human Resource Manager make decisions about how they
want to socialize their new employees.

Employees begin with a relatively formal socialization to learn the

pivotal standards of BAT.Then they begin the formal socialization
process on the job, where they learn the norms of their work group.

Training System of BAT

Types of Training:

• Technical Training

• Management Training

• Safety Training

• Occupational Health
• General Training (Management, Accounts, Sale etc.)

• Social Skill Training

• Refresher Training

• Workers Education Training

On-the-job Training Process

• Identifying the training needs: What kind of training is needed

for how many
people to what standard of performance the objectives of the training
must be
determined.

• Analyzing the attitudes, skills & knowledge(ASK)of the job:

Designing what has to be learned.

Planning the training program & implementing it

• The stages of the training

• Recording the results
• Providing the stuff and equipment

Evaluating the results

• Deciding whether the training objectives have been met

• Considering how they could have been met more effectively

Training Aids
The following training aids are generally used in training programs in
BAT

• Multi media
• Overhead projector

• Flip chart

• White board etc.

BAT’S Performance Appraisal

Their remuneration policies are designed to be highly competitive and
to ensure differentiation amongst individuals and teams on the basis of
performance. Their employees are rewarded based on the challenge of
their roles in their business, the career opportunities and positive team
relationships.

Employee Compensation
Employee compensation refers to all forms of pay or rewards going to
employees and arising from their employment. It has two min
components:

1. Direct financial payments: Wages, salaries, incentives,

commissions, and bonuses. There are two ways to pay directly:
• Time based pay: Daily, hourly, weekly, biweekly or monthly
wages and salaries
• Performance based pay: Ties compensation directly to the
amount of product the worker generates.
2. Direct payments: Financial benefits like employer-paid insurance
and vacations.

Factors influencing the design of compensation plan

• Legal considerations in compensation

• Union influences on compensation decisions

• Corporate policies and competitive strategy

• Policy issues affecting the plan of an organization

Establishing Pay Rates

Step-1
The Salary Survey: A survey aimed at determining prevailing wage
rates. A good salary survey provides specific wage rates for specific
jobs. Formal written questionnaire surveys are the most
comprehensive, but telephone surveys and newspaper ads are also
sources of information.

Step-2
Job Evaluation: A systematic comparison done in order to determine
the worth of one job relative to another. Job Evaluation method
includes:

1. Ranking: Involves ranking each job relative to all other jobs,

usually based on overall difficulty. There are several steps in this
method:

• Obtain job information for each job

• Rank jobs by department or in clusters

• Select just one compensable factor

• Rank jobs

• Combine ratings
2. Job Classification: Categorize jobs into groups
3. Point Method: A number of compensable factors are identified and
then the degree to
which each of these factors is present on the job is determined.
4. Factor comparison: Ranking jobs according to a variety of skill
and difficulty factors,
and then adding up these rankings to arrive at an overall numerical
rating for each given
job.

Step-3

Group Similar Jobs into Pay Grades: A pay grade is comprised of

jobs of
approximately equal difficulty.

Step-4

Price each Pay Grade-Wage Curves: This curve shows the

relationship between the
value of the job and the average wage paid for this job.

Step-5
Fine-Tune Pay Rates: A series of steps or levels within as pay grade
usually based upon
years of service.

Benefits
Indirect financial and non financial payments employees receive for
continuing their employment with the company.

There are several types of benefits:

 Supplemental Pay Benefits

 Insurance Benefits

 Vacations and Holidays

 Sick Leave

 Parental Leave and Family Leave

 Medical Leave

 Retirement Benefits

Conclusion
British American Tobacco is one of the reputed multinational
companies in Bangladesh. They have continued their business with
good reputation. As a leading company in cement industry they always
try to maintain the highest quality of their products. Their human
resource department is strong & treats their employees as an asset.
BAT has already earned reputation as a very potential Multinational
Company of the country. This has been possible due to skilled
manpower, which has been developed by taking proper recruitment
and selection strategies and giving sufficient training and development
opportunities and also retaining their employee through providing
adequate compensation and benefit .We write in no uncertain term
that BAT is functioning very well and we hope that it will continue its
operations and will become the trendsetter of the Human Resource
Management practices of Bangladesh.