HRM Functions of ICB in the Capital Market
With the increase in the size and complexity of business organizations, man has become the most important factor in business. Business needs people as owners, employees, and consumers. Organizations need people to make them operate. Business may be operated differently and the objectives of business may differ, but the universal element in all business activities is people. An organization is nothing without human resources. Any human organization- a factory, a hospital, or association- consists of people working together. According to economists, the factors of production are land, labor, capital and entrepreneurship. Of all the resources, the most important one is human resource, because human begins play a dual role- as resource, as well as a motive force for all other resources by manipulating them, by way of developing, utilizing, commanding and controlling.
Definition of HRM:
The purpose of HRM is to improve the product line contribution of people to the organization in ways that are strategically, ethically & socially responsible. Human resources determine every organizations success.
There are many definitions about human resources management (HRM). One of the well known definitions is offered by Micheal Jucious (1984). He defined human resources management or personnel management “as the field of procuring, developing, maintaining and motivating a labor force”.
Human resources management concerns the personnel policies & management practices & system that influence the work force regardless of the size or existence of a formal HRM or personnel department……John Bernardin
Objectives of the Study:
The main objective of this study is to identify and familiarize with the objectives of the organization, function and analyzed performance of ICB in the capital Market. Other objectives of this report are as follows:
- To find out the present condition of HR system of Bangladesh.
- To examine the operational procedure of ICB,
- To evaluate the performance of ICB towards the HR development Bangladesh.
- To relate theoretical knowledge with the practical experience.
- To go through all dept. of the ICB and observe how the works are going on.
- To acquaint myself with the practical aspect of the organization.
- To evaluate the effectiveness of ICB’s HR
For the purpose of preparing this report, I have carefully observed all of the departments of ICB and got some information from the responsible officers at certain department. Sources of data collection are as follows:
Primary sources data are those, which are collected from face to face discussion with the help of the officers of the organizations.
- Primary sources data have been collected through semi-structured interview with some officers of the Investment Corporation of Bangladesh. The interaction with the interviewees was more informal, involve two-way communication, and hence accommodate a diversity of opinion, knowledge and experience of the interviewees.
- I also collected primary data by face to face conversation with the officers of some other banks.
b) Secondary sources:
Secondary sources of data include:
- Ordinance of ICB.
- Annual reports of ICB and other Banks.
- Daily Newspapers, journals and books.
- Monthly review of DSE & CSE.
- General Information of ICB.
- Materials & documents of ICB’s Personnel Department.
- Internet browsing.
Classification and analysis of data:
Some arithmetic and graphical tools are used in this report for classification and analyzing collected data and to interpret them clearly. The collected data were structured very well and were pointed out and shown as findings. Few recommendations are also made for improvement of the current situation.
Historical Background of ICB:
Investment Corporation of Bangladesh (ICB) is a statutory corporation. It is mainly an investment bank. As an investment bank is a financial institution, which mobilized fund from the surplus economic units by savings securities and developed funds to the deficit economic unit also by buying or underwriting securities After liberation in view of social economic changes, the scope for private sector investment in the economy was kept limited by allowing investment in projects up to Tk. 25 lacs. The new investment policy, which was announced in July, 1972 provides for an expanded role of private sector by allowing investment in a project up to Tk. 3 crores. The ceiling has further being raised to Tk. 10 crores in spite of the adequate facilities and incentives provided to the private sectors encouraging response was not for the coming. One of the reasons among other was the lack of institutional facilities, which provides underwriting support (Like former ICB) to industrial enterprise that was required to raise much need equity fund. Thus, the need for reactivation for capital market, stock market was keenly feel.
The Investment Corporation of Bangladesh (ICB) was established on 1st October 1976, under “The Investment Corporation of Bangladesh Ordinance, 1976” (No. XL of 1976). The establishment of ICB was a major step in a series of measures undertaken by the Government to accelerate the pace of industrialization and to develop a well-organized and vibrant Capital Market particularly securities market in Bangladesh. ICB caters to the need of institutional support to meet the equity gap of the industrial enterprises. In view of the national policy of accelerating the rate of savings and investment to foster self-reliant economy, ICB assumes an indispensable and pivotal role. Though the enactment of the Investment Corporation of Bangladesh (Amendment) Act, 2000 (No. of XXIV of 2000), reforms in operational strategies and business polices have taken place by establishing and operating subsidiary companies under ICB.
Functions of PD of ICB:
HR managers are performing a variety of functions. The functional areas of HR managers are changing as the time goes on. The main functions of personnel Department of ICB are given below:
Recruitment and selection process of ICB
Responsibility for recruitment and selection usually belongs to the HR or personnel department. This department works to find and attract capable applicants. Job description and specifications provide the needed information upon which the recruitment process rests. Line and staff cooperation in recruitment is essential. The HR manager who recruits and initially screens for the vacant job is seldom the one responsible for supervising its performance. So he needs the help of line personnel.
Personnel Department (PD) of ICB uses both internal and external sources of supply for recruitment and selection of employees. Though their authority is limited, they have done it by the following ways
- Finding out Vacancy:
The steps for recruitment process of ICB, they first find out the vacancy by forecast processing.
- Approval of Ministry:
When ICB find out vacancy they give the proposal to government. Governments take the finale decision and give approval. If ministry approved it then ICB can take further steps for recruitment.
After approved by the ministry, the PD of ICB prepares two advertisements on in Bangle and another one is English. Then they publish them in the well known daily newspaper of Bangladesh.
- Collection of applications:
After advertisement, they collect applications from potential candidates.
Selection is a decision making process. Once a pool of suitable applicants is created through recruitment, the process of selecting applicants begins. The PD of ICB follows the following procedures for selecting appropriate candidates:
- Short Listing
Selection process of ICB starts through sorting out candidates by comparing applications with recruitments. They make a short list from the applicants. For Short listing there is a committee. It consists of five members that include GM, DGM etc.
- Written Test
Tests are devices that assess the probable match between applicants and job recruitments. These tests are conducted in order to improve the selection decisions. Tests are a screening device. Some are paper and pencil tests; others are exercise that stimulates work conditions.
After short listing, candidates are called for written test. This written test is taken either by member of selection committee or by professional body or institution which name is BRC. If it is taken by the professional body of institution, they have all responsibility relating written test.
Interviews are most widely used device for selection. It summarizes and integrates all information concerned with the candidates. Strauss and Sayles (1989) define an interview as a purposeful exchange of ideas, the answering of questions and communication between two or more persons. The interviewer’s goal in selection is to match human characteristics and abilities with the demands of the jobs.
For the appointment of employees the qualified candidates of written test are called for interview. There is a committee which is called promotion committee. It consists of 4 members that include MD, GM, DGM and secretary.
- Preparation of Panel
After taking interview, the promotion committee prepares a panel of candidates based on merit by considering the marks obtained in written test and interview.
- Offer and acceptance
The promotion committee sends the list of qualified candidates to the Personnel Department (PD). Then PD sends appointment letters to the qualified candidates and a contract of employment is given to the successful candidates. If the successful candidates accept the appointment letter, they join in the organization.
Placement is the assignment or reassignment of duties to employee. It may take different forms. PD has done the following thing relating placement:
- To handle all personnel matters including confirmation, posting, transfer, fixation, leaves etc.
- To process all promotion, time- scale encashment
- Ro process A.C.R. confirmation of employees etc.
- To control attendance
Compensation is the reward or price for labor. The goal of compensation administration are to design the lowest cost pay structure that will attract, motivate and retain competent employees, and that also will be perceived as fair by these employees. PD has to handle national pay scale, fixation, increment etc.
Resignation and Retirement:
PD of ICB has done the following thing relating resignation and retirement:
- To process resignation, retirement cases;
- To deal with retirement benefits including gratuity, pension, provident fund etc.
During 2005-06, one officer resigned, one employee was given forced retirement. 3 officers retired from the services of ICB and one officer died during the year.
Discipline refers to a condition in the organization when employees conduct themselves in accordance with the organization’s rules and standard of acceptable behavior. This department takes disciplinary action gradually to that employee who violates the rules and regulations of the organization. This action is two types:
- Light punishment
- Heavy punishment
Training and development:
Training is a continual process of helping employees to perform at a high level. It is a process of acquiring new skills to do job properly. Training changes and modifies employee attitudes and behaviors that will improve his ability to perform on the job PD of ICB have done the following thing relating training and development:
- To prepare long term and short term plans for executive development in the corporation.
- To explore more sources of financing of foreign training.
- To arrange in service training where, among other, foreign trained officers will in turn train other officers through lectures.
- To arrange training of new recruits.
- To run training institute of the corporation.
- To arrange seminar/symposia/workshop where experts in the line may be invited to deliver lectures.
- To procure training equipment and facilities for training manpower.
During 2005-06 as part of resource development programmer ICB endeavored to develop the skill, knowledge and professional competence of its manpower by arranging various local training equipment courses. During the year, 13 officers received local training and joined in different workshops on different subjects including Enhancement of professional standards of Market intermediaries.
Trade union is an organization of workers, acting collectively, who seek to protect and promote their mutual interests through collective bargaining.
- To deal with all matters relating to ICB employees Union
- To deal with all matters relating to ICB officers Association.
PD has to develop appropriate machinery for handling grievances and arrive at a solution.
Human Resource Department (HR) of HSBC
The Human Resource Manager currently heads this department. The major functions of this department are strategic planning and policy formulation for Compensation, Recruitment, Promotion, Training, and Developments, Personnel Services, and Security. The HR department is very much concerned with the discipline that is set up by the HSBC group. HSBC group has got strict rules and regulations for each and every aspect of banking, even for non-banking purposes; i.e. the Dress Code. All these major personnel functions are integrated in the best possible way at HSBC, which results in its higher productivity. The Human resource officer monitors the employee staffing and administration activities. The Training officer supervises training, development, & rotation activities.
HSBC activities are performed through functional departmentalization. So, the departments are separated according to the functions they perform. Within the major departments there are some other subsidiary departments that allow smooth operation of their own major departmental functions.
Recruitment and selection process:
HSBC Bangladesh limited follows a standard procedure for recruitment and selection. However there is no set time period when this recruitment and selection takes place. Each departmental head places the requisition for recruitment to the Human resource officer, if any vacancy is created due to
(3) Death, or
(4) Extra workload.
The process for the recruitment of personnel for managerial and non-managerial level differs slightly but the basic steps are same in both the cases. Before mentioning the steps of the selection process it is worth mentioning that there is a unique policy in the HR department which states that a person will not be eligible to apply for any vacancy if his or her first-cousin, brother/sister or spouse works in any of the branches of HSBC. The steps are-
- Initial screening
- Screening by departmental heads
Filling of the HSBC job application form
- Screening on the basis of SAF
- Initial Interviewed
- Selection for written test
Evaluation of test papers
- Selection of final interviewees
- Final interview
- Documentation Check
- Medical examination
- Probationary appointment
Training and Development
In order to enhance the efficiency of the employees, HSBC gives emphasis on the both theoretical and practical training for its personnel. All the training and development programs are aimed at two basic reasons – (1) Skill development (2) Motivation through counseling and persuasion to change value system. For the top management or senior managers there is provision for overseeing training arranged by HSBC group. For the mid-level manager or other managerial level there is provision for regional training courses. Besides, for non-management level there are training programs arranged in different institution and also with in the organization. For the operatives, various on the job-training program are conducted within the company. HSBC Bangladesh limited follows a performance based promotion system for all levels of its employees.
They give the training on three ways. They are:
- Formal training– formal training arranges when they launch any new product, for new recruit, for new rules and regulation. The time or place is fixed from before. Branch to branch this training is provided. Capable or experienced people are member of this training team. Sometimes foreign trainers are also present for giving training because it is a multinational bank.
- Informal training– Informal training is not any organized training. Motivate fir better service is the main reason for arrange this type of training.
- Problem solution- Mystery shopper survey finds out the problem or lakings. This training is given according to the solution of problem
Human Resource Department (HR) of First Security Bank
In today’s competitive business environment, only the quality of human resource makes the difference. The bank is committed to attract the best person to work for it and the adoption of the latest information technologies is reflected in the efforts of the bank in development of human resources. The bank believes in professional excellence and considers its working force as the most valuable asset and the basis of efficiency and strength. This department consists of 14 employees & 8 staffs.
HR department of First Security Bank Ltd. does not involve directly in strategic planning. Mainly the Board of Directors plans it. HR provides information to help them to take necessary decision. But HRD does a separate planning for their internal work.
If First Security Bank Ltd. plans to introduce new branches or services then they go for recruitment. They also recruit employee if any post vacant within the bank.
Process of Recruitment:
When the vacancy occurs the department sends a requisition form to HR Department. The HR manager asks for the qualifications and other information. On the basis of given information the HR manager plans his strategy and write a memo to the Board of Directors. If they give the PRC approval then First Security Bank gives advertisement in Newspaper.
Sources of recruitment:
The HR department of First Security Bank Limited follows two ways to recruit new employees. They are:
- Internal recruitment
- External recruitment
a) Internal Recruitment:
As First Security Bank recruit highly qualified and experienced applicant they prefer to recruit mid-level and upper level employees internally. When any post vacant they search for right people for the right place with in the organization. Their Human Resources Department maintains Human Resources Information System (HRIS) for internal recruitment so they can fill up vacancy by a person of known quality. They also use Internal recruitment as a motivational tool for the employees. While recruiting employees internally the bank often experiences ripple effect that is – when a vacancy is filled internally in the mean time another vacancy occurs.
b) External Recruitment:
If First Security Bank cannot fill the vacancy internally or cannot find right people for the right post with their organization then they go for external recruiting. Some times if they need very experienced person for their upper levels then they think about external recruitment. There are also some reasons why First Security Bank prefer external recruitment-
- To over come ripple effect with the bank.
- When they need new ideas and viewpoints
- To avoid riffle effect within the bank.
Method of recruitment:
External Recruiting is used to attract a large pool of applicant. To recruit externally First security Bank follows the following method-
The bank spending heavily in ads because recruitment ads have a large audience of whom only 10-20% is actually looking for jobs. Therefore the bank target 100% rather than 10-20%. First Security Bank Ltd. does not use any blind advertisement to newspaper. They clearly mention the job description to their advertisement. They usually place their recruiting advertisement to national dailies and business magazines.
First Security Bank follows a specific strategy for selecting new employees. The human recourse department made this strategy. At the entry level of new employee the selection team considers education, experience and qualification of the candidate’s. This procedure begins after evaluating the applications.
Selection of executive:
Mainly the Board of Directors selects the top executive of First Security Bank. Some times the shareholders give their opinion in the Annual General Meeting for selecting top executives. The mid level executives are selected internally by their better performance and experience. Some executives are selected externally but their ratio is low.
Human Resources Development and Training:
Training program is a regular basis program of First Security Bank. It is done for both lower level and mid level management. Every year the bank spends a lot for the training of employees. The amount in not fixed, it depends according to their demand. Some times it is used as the motivational tool with in the bank.
Reasons for training:
- To orient the hires to organization
- To teach them how to perform initial assignment.
- To improve current performance of employees
- To prepare employees for future promotion or upcoming changes.
- To introduce employees with the new technology, if the bank going to use it.
Methods of training:
Security Bank Ltd. follows –
On The Job Training:
First Security Bank provides on the job training for the new recruited employees. It is basically training for one year. During the training period the employees do not get any specific position. Every employee has to move round the desks. In this training First Security Bank provides a training program smellier Job Rotation system. First Security Bank gives more importance in this training phase. In this training the new employees get a practical experience. According to the Job Rotation, the trainee has to expand more time in “Central Accounts Returns Department”. It is about 10 weeks. Then they give importance to other departments.
Off The Job Training:
First Security Bank arranges a training program when they recruit new employees. They train their employees to their own training center which is at 23, Dilkhusha C/A, Dhaka. Here they provide formal training program. All the employees have to do it. This program is conducted by following ways-
- During the training period teachers of Institute of Business Administration (IBA) and Bangladesh Institute of Bank Management (BIBM) teaches the employee. They come as Guest teachers. They give lecture related to banking subjects.
- Sometimes First Security Bank provides off the job training to motivate the employees. They send employees to abroad for training. Employees who work for a long period of time with the bank and very loyal to the organization gets the benefit of being trained in oversees.
- Sometimes First Security Bank sends their employees for training to various multinational banks within the country.
Employees of First Security Bank are satisfied with their training program but some of them think that they need a well-decorated large training center.
First Security Bank does not consider Performance Appraisal as punishment tool. They actually do it to review the employees’ performance through out the year and to have a basic idea about each branch. First Security Bank uses both formal and informal processes to do performance appraisal.
Firstly Security Bank Ltd. uses some written instruments or paper. ACR is a kind of form by which the bank can evaluate all types of employee performances. The bank normally uses two types of form one for officers and the other one are for executive level. All superior evaluates his/her subordinates.
Sometimes bank use informal evaluation of the employees. Every superior gives verbal information about his subordinates. On the basis of the superior’s information the management measure Performance Appraisal.
Normally First Security Bank provides three benefits or incentives in a year without monthly salary. Among them there are two festival bonuses and one incentive based on ACR form. Sometimes they give promotion, increment (based on target sales) and enhance salary. All incentives are paid individually and they do not provide any group incentives. First Security Bank provides compensation & benefits on the basis of employees’ performance and ranking.
Discipline is the management action taken to enforce organizational standards. Every organization should follow some discipline. FSB follows some discipline to run their operation.
- If any employee breaks the rule of FSB, then the organization takes the disciplinary action.
- They take the action according to the “Service Rule Book.”
- If anyone complains against any employee of FSB then they send an inquiry team.
- If the inquiry team finds that the employee is guilty then they give an oral or written reprimand. And also keep a record in employee’s personal file.
HR Functions of EXIM Bank
How does a bank or the as usual organizations manage their people? Both executives and academics believe that human capital management and investment is essential to the competitiveness of firms, but there is a wide variation of opinion about how best these complex organizational activities are implemented in practice. This can be a raft of leading or best practices that are common across many companies, and certain practices that are unique.
The HR Function
The EXIM bank have adopted similar forms of administrative HR provision such as shared services, HR intranets, self service HR and to a lesser extent, outsourced HR, all enabled by significant advances in administrative process and information-capture technology. These moves have been made in the interests of efficiency gains and also for the purpose of enabling a smaller core of HR staff to pursue sore “strategic” activity. For this strategic work, there are a number of examines of HR as internal consultants, aiming to add value through thought leadership, particularly around issues of change and also process expertise. The HR director is a member of the executive committee of the organization, which is an important structural signifier for the value of HR. There is recognition in the organizations that “change readiness” in employees is important for the revitalization of the firm. Therefore the centrality of the HR function is crucial. Talent management as an overarching concern, ensuring the linkages between component parts of staffing, performance of management and development are aligned, shoes the importance of managing the system of practices. The understanding of employee’s power demographics and the implications for the talent pool is held to be crucial for long term and long term trends in usually downstream from the business strategy, and one issue that consistently emerges is the lack of real depth in viewing the long term, particularly in terms of job market scanning.
Human Resource Division in EXIM
This department manages recruitment, training and career progression plan. EXIM Bank highlights the importance of developing its people to create a culture of customer service, innovation teamwork and professional excellence.
EXIM bank recruits people by two ways. One is a “Management Trainee” that has a probation period of six months and after the probation period the trainees will be counted as officers and they will do the different kinds of managerial works. Second one is “Non Management Trainee” which does not have any fixed probation period. Time required for training is department on the recruited person’s performance. In case of Non management Trainee, two ways of recruitment is taken place. They are taken by signing a contract with some outside organization for three months and after three months the contract mat be renewed or not depending upon the employee’s performance. These people coming through outside contract are called “Out Source”.
They are taken by signing a contract with the bank for the three months and after three months the contract may be renewed or not, depending on the performance. These people coming through bank contract are called “In Source”.
As like other organization EXIM Bank values those candidates whose reference is better persuasive that other candidates. Reference helps deferent way such as, an employee is referred by the top level manager or even officer, and as a result the employee will be liable for the entire performance. In that case the employee is self controlled.
Whenever the Bank needs an employee or somehow the Bank discovers the vacancy for the new one, advertisement is another way to encourage much more candidates to drop CV to the head office. EXIM Bank publishes its advertisement campaign on the dailies and on its web site.
EXIM Bank allows each and every student of the University level who comes for internship placement. The Bank doesn’t pay any incentive to internee but if any internee shows his performance as well there is scope to be an employee of the Bank latter at a time when the Bank feels the vacancy.
Selection is the process of matching between the skills of the individual and the requirements of the job. The selection is the process plays a pivotal role in the entire human resource issue.
Amongst all the factors that combines to contribute towards the success of an organization, none counts as much as people. EXIM Bank believes it in letter and spirit. As such in order to select right type or people the bank maintaining a very transparent and neutral mood operation as regards recruitments. Recruitments are usually done through open invitation of the applications by advertisement in the national dailies. Candidates are required to go through stringent examination and tests, some of which are conducted by Institute of Business Administration of Dhaka University.
Summary of the findings:
a) Personnel Department:
- Computer shortage is their problem that’s why their maximum organization related paper is written or printed copy.
- They have employee shortage for personnel department.
- Personnel department has no authority for taking decision. They just give the proposal to management and management send it to government for approval.
- ICB’s all decision taking process is too lengthy because they need government approvals for taking decision.
b) HR Planning:
- They have HR forecast planning but it’s not so much developed or organized.
- HR planning is depending on the government decision.
c) Recruitment process:
- They follow very simple steps for
- ICB is not involved directly with the recruitment process.
- BERC (Bangladesh Energy Regularity Commission) is a institution who hire the people on behalf of ICB.
- Boards of the Directors are the responsible for decision of recruitment.
- ICB’s recruitment process is free from corruption.
d) Selection process:
- BERC (Bangladesh Energy Regularity Commission) take the written exam of applicants. Who are successfully passed written exam they only selected for finale interview.
- Boards of the Directors are arranging meeting with selected applicants and take the finale interview for selection.
- ICB’s selection process is also free from corruption..
e) Compensation process:
- ICB’s compensation budget for employees is too low than other organization. They follow national pay scale.
- ICB gives the quarter for all employees who at least 3 years work with ICB.
- ICB give the festival bonus for their employee.
- ICB also give medical allowance for their employee but this amount is fixed for every month.
- ICB give the benefit to their employee by giving a handsome amount of loan.
f) Training and development:
- ICB’s training budget is yearly 8 to 10lacs but it is changeable for every year.
- This low amount is not enough for employees foreign training.
- Training system is not so developed.
- They mainly follow short term training process for their new recruit employees.
- They have no own training institution.
g) Disciplinary actions:
- ICB takes disciplinary action quickly against those employees who are breaking the rules and regulations of ICB.
H) Placement decision:
- PD if ICB handle all personal matters including confirmation, posting, transfer. Fixation, leaves e.t.c
- PD of ICB does not use modern tools and techniques of human resources management but as a private organization other bank’s follow or use modern tools and techniques.
- PD of ICB tends to be parochial, striving to attend line managers on the other hand others Bank give much emphasizes on all the managerial sector of their organization.
- PD of ICB emphasizes on bureaucratic control. It represented a highly compartmentalized system. but other private banks are not emphasizes on bureaucratic control.
- PD of ICB has a very few man power. But other private bank has different sector of HRM and they have enough man power for running HR department and they always try to add new or moderate system for giving better service for their customer.
- All the functions of PD of ICB have done on the basis of predetermined way. As a result there is no chance of creativity of the employee. Private Banks most of the time follows immediate decision which they feel to need for their customer. Bank also done their work on the basis of pre determined way but they also try to include new operating system to provide better service for their
- The management of ICB takes no risk when they give loans to their clients. They are very slow in decision-making. They sometimes fail to take the current opportunities for this slow decision making process. On the other hand other banks can take decision more easily because they are not waiting for government approval.
- There is no function of performance appraisal of the employees of the ICB. But performance appraisal is a common term for private Banks that’s why their employees are more motivated with the compare of ICB.
- PD has less authority to take decisions. But in case of private banks HR they
Play the role of creating new rules and regulation to satisfy their customer.
- ICB’s training budget is only 8-10 lack yearly but other private banks keep huge budged for training purpose. That’s why the employees of private bank can do their work much effectively. The range of training cost for private bank 30-80 lack.
- ICB dose not provide any foreign training, recent they include this training with their HR but its not so strong position. On the other hand private banks most of the time sends their employee to abroad for better training.
- Remuneration is too law among with the contrast of other organization. That could break the attention of employees about their recent job. Employee’s motivation level could also destroy.
Strength of ICB:
- Last year ICB’s profit is near around 101 cores. As a government organization this is very big achievement of them.
- Skilled manpower and efficient employees are being involved with their organization.
- Employees get the opportunity to involve with direct share business that’s why they are satisfied with their income and this is the reason, employees are not involved with corruption.
- ICB’s recruitment process is very fair that’s why more skilled person they can hire. The management does not face any pressure for hiring unskilled people.
Opportunities of ICB:
- Incase of Bangladesh perspective here is high demand for loan ICB can take this opportunity and can expand their business by increasing their money supply.
- ICB is a government organization that’s why people have much faith on them then other private organization that is their opportunity to achieve their target goal.
- New generation is much familiar with technology. ICB is converted their share as electronic share that is their opportunity to spare their business to new generation.
- Venture capital is new term for ICB. They started to finance on venture capital from last year. This is the way of taking high risk for gaining high return. If they can finance in perfect projects so that will became great opportunity for ICB.
Recommendations for ICB:
- The management should take immediate decision to take the current opportunities.
- Staff meetings and departmental meetings at the branch level must be increased to develop service quality as well as problem solving
- It is important to use modern tools and techniques of human resources management. So they need to appoint such person who has better knowledge about HRM.
- ICB needs to appoint more skilled people for PD.
- ICB can encourage creativity of the employees of the PD.
- ICB needs to introduce the function of performance appraisal of the employees. It will increase the productivity of employees.
- ICB can provide more authority to PD.
- . Rules and regulation can be relaxed.
- Payment to the workforce should be such that will encourage the employees to work more. Remuneration package must be impressive and inconsistent with work performance.
- ICB may recruit HRD employees having HR background so that they will make working people more productive and satisfied.
- The organization’s strategic plan and business plan must be sound.
- The organization must specify characteristics that are necessary to perform a job.
- Selection, training and promotion procedure must be well structured and applied properly.
- Realistic Job Preview (RJP) must be provided to the employees to get rid of early turnovers and other crucial aspects related to job.
- HR’s main focus must be on employees rather than anything else.
- They recruit employees externally for the junior officer and provisional officer, which can be discouraging & de motivating to current employees.
- For decision-making in selection the company may follow a combination of all approaches to get a hybrid approach, which is very effective.
- They may use semi-structured interview tool known as cone approach in selection process, which is far better than the one they use.
- They must follow assessment canter approach for selecting managers, which can predict both long & short-term success and advancement in management position.
- They must get a larger training center.
- Training process must be satisfactory for the employees.
- ICB can trains almost all the employees, which is a very good sign of success.
- The organization must assess need for training to refrain from uselessly spending money for problems for which training is not the answer.
- As a large organization they have must have both formal & informal methods of performance appraisal (PA) and performance feedback (PF).
- The advertisement should contain job description and job specification so that the applicants can be easily short listed
- The screening of the application should be done carefully following a standard method.
It is true that human resources management is a complex and rapidly developing field of practice in Bangladesh. Despite its comparatively recent origins and drawing upon both overseas and local influences. HRM is crucial factor in the success of the organizations. The PD of ICB tries their best to perform their functions successfully. But their tools and techniques of managing human resources are too much traditional so that can not perform properly. So, the PD of ICB should be restructured in a way so that it can contribute to the performance of the total organization.