BENEFITS OF PRACTICING HUMAN

RESOURCE MANAGEMENT

In the Scheduled Banks of Bangladesh

GROUP NAME

Name Roll

Khadiza Noor 55

Zakia Shabnam Maria 27

Aaqib Md. Shatil 87

Cynthia Islam 101

Raju Ahmed 119

Poly Talukder 47

CONTENTS

Introduction

Overview of the assigned banks

Practice of HRM in the banks

Benefits of Practicing Human Resource Management

Findings of the Study

Conclusion

INTRODUCTION

Human Resource Management involves all management decisions and practices that directly affect or influences the people or “Human Resource” of the organization. Human Resource Management is an essential function of management.

HRM aims to achieve organizational goals through effective utilization of human resource of an organization.

Practice of HRM is very crucial for any organization but for banks this practice is more important because bank is a service industry.

Bank’s success depends on customer satisfaction and banks depend on their HR section that it would deliver employees that will work towards attaining customer satisfaction.

OVERVIEW OF UTTARA BANK LIMITED

UTTARA BANK LIMITED AT A GLANCE

Established 1965

Privatized 1983

Head Office Motijheel, Dhaka

Number of Branches

220

Number of Employees

3562

Worldwide Affiliates 600

Management Uttara Bank Limited is operated by its 13 memberBoard of Directors, headed by a Managing Director.

UTTARA BANK’S HR PRACTICE

In Banking sector for continues growth a precondition is efficient and experienced workforce.

Uttara Bank’s Human Resource Division’s prime strategies are “Ensuring Continues Business Development” and “Winning the trust of customers, shareholders, stake holder, and employees by giving satisfactory service.

They also ensure that they help the society with efficient human resource.

To develop human resource and modernize them and to keep them up with latest inclusions in modern banking, UBL arranges various trainings. UBL has their own training institute where they train their employees in various aspects of banking.

HRM PRACTICE OF UTTARA BANK

5%

63%

13%

20%

Employees

Executives

Juniors

Assitants

Others

OVERVIEW OF CITY BANK

CITY BANK LIMITED AT A GLANCE

Established 1983

Number of Branches 111

Head Office Motijheel, Dhaka

Number of Employees

2647

Awards •Best Bank of Bangladesh (2014) •Best Corridor Collaboration South Asia (2011) •Strongest Bank of Bangladesh (2010)•Global Marketing Award (2010) •Best Internet Bank in Bangladesh (Global Finance)

Management City Bank’s board consists of 12 members. The board is headed by a Chairman

HRM PRACTICE OF CITY BANK

Human resource is the greatest strength of City Bank Limited.

The slogan of City Bank Limited HR division is, “ Right Person in Right Place with Right Position”.

During the year 2013, City Bank Limited arranged 153 training programs for employees.

The types of trainings are-1) Functional2) Leadership3) Soft Skill4) General

HRM PRACTICE OF CITY BANK

87%

13%

Gender Positioning

Male

Female

OVERVIEW OF NATIONAL BANK LIMITED

NATIONAL BANK LIMITED AT A GLANCE

Established 1983

Head Office Motijheel, Dhaka

Number of Branches 175

Number of Employees

4126

Worldwide Affiliates 393

Management National Bank Limited is directed by a board of Directors of15 members and the board is headed by a Chairman.

HRM PRACTICE OF NATIONAL BANK

National Bank limited established a training institutein 1987, National Bank Training Institute, the firstever training institute for private bank.

NBTI organizes training, workshops, seminars andsymposiums for officials to enhance and update theirprofessional knowledge. During 2013, a total numberof 2913 employees took part in 80 training courses,workshops conducted by NBTI.

BENEFITS OF PRACTICING HRM

By conducting survey from previously developedquestionnaire and from unstructured interviews wehave find out various benefits enjoyed by scheduledbanks. These benefits can be classified into differenttypes of benefit.

The benefits are listed below-

a) Organizational Benefit

b) Managerial Benefit

c) Financial Benefit

d) Employee Benefit

e) Legal benefit

ORGANIZATIONAL BENEFIT

Organizational benefits enjoyed by the three banks found in our survey are

a) Eases recruitment Processb) Spillover effectc) Clears unrealistic job expectationd) Eliminates internal politics in recruiting e) Mediates tension between employee and

organization.

MANAGERIAL BENEFIT

HR division of Uttara Bank, City Bank and National Bank works diligently to ensure that managers get benefitted by their division.

1. Benchmarking

2. Performance Appraisal

3. Less guess work

4. Effective Management of People

FINANCIAL BENEFIT

Even though HRM division has its own expense but it adds to financial benefits of the bank.

They are-

1. Benefits & Incentives

2. Indirectly reduces turnover

3. Cost Containment

EMPLOYEE BENEFIT

Human resource management deals with policies, rules, and system that directly or indirectly influences employees of an organization.

Employees enjoy the following benefits-

1. EQUAL EMPLOYMENT OPPORTUNITY

2. EMPLOYEE OPINION

3. EMPLOYEE WELLBEING

4. DEVELOPS THE CAPACITY OF HUMAN RESOURCE

LEGAL BENEFITS

HRM acts as blessing in disguise for commercial banks.Because all of these banks have huge man power,sometimes employees can have issues against eachother or there can be illicit and unethical behaviorinvolved and also discrimination against women allthese sensitive issues are resolved by HRM divisionbefore unnecessary law suits.

FINDING OF THE STUDY

With this study we have find out about the following things

a) How HR division functions in real world

b) Current state of HR practice in the schedule banks

c) Information about Uttara Bank Limited, National Bank Limited, City Bank Limited

d) What is the managerial, financial, legal, organizational benefit of the organization

e) HRM’S overall influence in the organization

CHALLENGES IN BANGLADESH

Challenges faced by the HR division of the banks

1) Corporate reorganization

2) Cyclical growth

3) Increasing diversity in workforce

4) Increasing social responsibility

5) Employee expectation

CONCLUSION

Practicing Human Resource Management within the organization is no more a luxury rather a necessity.

Especially the unearthing of various scams regarding the banking sector of Bangladesh has shown that the organization’s benefits, integrity, organizational structure etc. marches arm-in-arm with Human Resource Management.

To strengthen an organization, Human Resource Management is a must.

THANK YOU