Introduction

A manual that gives HR policies of an organization along with a wide overview of different HR
procedures such as work force planning, enlisting, pay packages and profits, grooming,
employee governance, etc. is called an HR manual. It is usually fashioned for internal use in the
HR department only. An HR manual ought to result in the succeeding level of justification,
wherever necessary. HR manuals are complete compilations of policies and procedural
corroborations relevant to employees within the organization. The content of these manuals is
not to be interpreted as the policy but it is to be utilized along with the HR policies formulated by
the Department of Human Resource Management. The HR manual of any organization is
formulated to enable the managers and supervisors to accomplish the human resources
obligations meted out to them efficaciously. This is done by supplying parameters and guidance
for making decisions, along with supplying all staff members with user-friendly and
approachable data. HR manuals are usually developed and revised by Human Resources
Departments of various companies.
The HR manual usually deals with the company policies regarding the following areas of
operation. These include ways and categories of hiring support staff and academic staff,
guidelines for fixed-term employment, policies for selection and recruitment, position
descriptions, working hours of main and support staff, guidelines for annual leaves and sick
leaves and other forms of leaves, salary packages for the various positions, guidelines to staff
grievances, etc. Along with these, the other things such manuals deal with are: Selection and
Recruitment, Methods of employment and working hours, Flexibility of employment and
development of staff, Opportunity for equal employment, Superannuation and remuneration,
Leave, Safety and occupational health, Disciplinary procedures and termination of employment,
and other employment related provisions.

ABOUT BRAC BANK LIMITED

BRAC Bank Limited is a scheduled commercial bank in Bangladesh. It established in
Bangladesh under the Banking Companies Act, 1991 and incorporated as private limited
company on 20 May 1999 under the Companies Act, 1994. The primary objective of the Bank is
to provide all kinds of banking business. At the very beginning the Bank faced some legal
obligation because the High Court of Bangladesh suspended activity of the Bank and it could fail
to start its operations till 03 June 2001. Eventually, the judgment of the High Court was set aside
and dismissed by the Appellate Division of the Supreme Court on 04 June 2001 and the Bank has
started its operations from July 04, 2001. The Chairman of the Bank is Mr. Muhammad A
[Rumee] Ali. Now the Managing Director and & CEO of the bank is Mr. Mr. A.E.A Muhaimen.
The bank has made a reasonable progress due to its visionary management people and its
appropriate policy and implementation.

Goal of BRAC Bank

BRAC Bank will be the absolute market leader in the number of loans given to small and
medium sized enterprises through out Bangladesh. It will be a world - class organization in
terms of service quality and establishing relationships that help its customers to develop and
grow successfully. It will be the Bank of choice both for its employees and its customers, the
model bank in this part of the world.
Vision of BRAC Bank
Building a profitable and socially responsible financial institution focused on Markets &
Business with growth potential, thereby assisting BRAC & stakeholders build a "just,
enlightened, healthy, democratic and poverty free Bangladesh". BRAC Bank will be a unique
organization in Bangladesh. It will be a knowledge-based organization where the BRAC Bank
professionals will learn continuously from their customers and colleagues worldwide to add
value. They will work as a team, stretch themselves, innovate and break barriers to serve
customers and create customer loyalty through a value chain of responsive and professional

service delivery. Continuous improvement, problem solution, excellence in service, business

prudence, efficiency and adding value will be the operative words of the organization.
BRAC Bank will serve its customers with respect and will work very hard to instill a strong
customer service culture throughout the bank. It will treat its employees with dignity and will
build a company of highly qualified professionals who have integrity and believe in the Banks
vision and who are committed to its success.

BRAC Bank will be a socially responsible institution that will not lend to businesses that have a
detrimental impact on the environment and people.

Mission of BRAC Bank

Corporate Mission:
1)

Sustained growth in 'small & Medium Enterprise' sector

2)

Continuous low cost deposit growth with controlled growth in Retained Assets

3)

Corporate Assets to be funded through self-liability mobilization. Growth in Assets through

Syndications and Investment in faster growing sectors.

4)

Continuous endeavor to increase fee based income

5)

Keep our Debt Charges at 2% to maintain a steady profitable growth

6)

Achieve efficient synergies between the bank's Branches, SME Unit Offices and

of

BRAC field offices for delivery Remittance and Bank's other products and services
7)

Manage various lines of business in a fully controlled environment with no compromise on

service quality.

8)

Keep a diverse, far flung team fully motivated and driven towards materializing the bank's
vision into reality

Corporate Values
Our Strength emanates from our owner - BRAC. This means, we will hold the following values
and will be guided by them as we do our jobs. Value the fact that we are a member of the BRAC
family.

1)

Creating an honest, open and enabling environment.

2)

Have a strong customer focus and build relationships based on integrity, superior

service

and mutual benefit.

3)

Strive for profit & sound growth.

4)

Work as a team to serve the best interest of our owners.

5)

Relentless in pursuit of business innovation and improvement.

6)

Value and respect people and make decisions based on merit.

7)

Base recognition and reward on performances.

8)

Responsible, trustworthy and law-abiding in all that we do.

Long Term Strategy

Summed up in a single sentence, BRAC Banks long-term strategy is to go where the market
is. The SME market in Bangladesh is large. The report produced by the Shore Bank team,
[Ronald Grzywinsky, Mary Houghton and Lynn Pikholz] and the independent consultant, Kaiser
Zaman, indicates that the market size would be over hundreds of billions of Taka. He
quoted: "As a result of the achievements of the micro-credit providers, Bangladesh now has an
hour glass shaped banking market in which credit and other limited financial services are
valuable to both very large and very small businesses and very wealthy and very poor
individuals. While there is wellknown informal system that provides credit to businesses,
virtually nothing is available from either banks or micro finance provider to the million the
middle businesses and individualwho are severely constrained in their ability to produce and
save for lack of access to financial resources and services. Until modern, competitive financial
services are readily availableincluding credit in amounts, terms and conditions that small can

access, Bangladesh will not be able to create the large middle class that is a prerequisite to social
stability.

HR PLANNING & RECRUITMENT

BRAC BANK LTD. has a reputation of serving the best possible service to their clients. All of
their employees should have some unique qualities to keep going on with the reputation. They
believe that to maintain this reputation quality employee is must. To acquire employees they
have a staffing process. They have divided their staffing process in Employment planning and
job analysis, Recruitment, Selection process, Training (if needed).
As we know from the theoretical part that the first step of developing employment-planning
system is job analysis, BRAC BANK LTD. also performs that. They also develop a set of clearly
defined job description and job specifications. In their job analysis, BRAC BANK LTD. focuses
on what the jobholder requires to do and the skills they needed to do it. In their job analysis they
also provide the analysis of the activities that an employee performs.
PLANNING AND RECRUITMENT
As BRAC BANK LTD. is one of the leading banks in Bangladesh; they follow an effective HR
policy. BRAC BANK LTD. recruits people both inside and outside of the bank; according to the
post and people they need for the bank. The Bank follows the best practice of 80/20 ratio,
meaning that 80 % of management population shall be home grown while 20% may be recruited
externally in order to infuse new skills and new thinking
RECRUITING WITHIN THE BANK
If the bank authority thinks that the people inside the bank are well qualified, they are offered for
the job, otherwise they go for external candidates. Authority always prefers internal candidates
for filling a position. To recruit internally they maintain ACR for evaluating an employee.
ANNUAL CONFIDENTIAL REPORT
Annual confidential reports are updated in BRAC BANK LTD. once in a year. BRAC BANK
LTD. does not follow the traditional rule of making ACR. Though the report is supposed to be
confidential, in BRAC BANK LTD. employees have right to see his points and evaluation in the
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report and also to disagree with any matter written about him. Thus this report is prepared with
the agreement of both employee and supervisor by a mutual agreement.
RECRUITING OUTSIDE THE BANK
As BRAC BANK LTD. follows 80/20 rules to recruit employee they try to find external
candidate when they fail to fill up the vacant position by internally. According to the recruitment
policy of the bank the authority used some source to recruit outside the bank.

Advertisement

When the authority decides to hire employees they give advertisement. They give advertisement
in at least two papers.

Web site

Bank has its own web. They always up to date their web site. They give necessary information, if
they want to recruit people. Browsing web-site people applies for the jobs, then authority recruit
qualified people from them.

Bd-jobs.com

Alike their web site BRAC BANK LTD. also gives necessary information in www.bd-job.com
about a vacant position.

Educational institute

BRAC BANK LTD. takes this source as a very important one. It is an important source to fulfill
their need of white-collar employees. They take employees from some renowned institution like
IBA, BIBM and so on.

Employee referrals

It is another source for BRAC BANK LTD. to recruit employees. Current employees referrals or
recommend people for the vacant positions. BRAC BANK LTD. always prefer these kinds of
candidates.

Drop in Application

On need basis, whenever a vacancy arises. Recruitment at this level is made from the "Drop in
Applications" that the bank receives on a regular basis and which are retained in the Application
File. Recruitment at this level are made through a basic job related written test and interview
conducted by an Interview Panel.

JOB ANALYSIS

A job analysis is a systematic exploration of the activities within a job. It includes:

Task/work activities.

Human behavior.

Machine, tools, equipment and work aids

Performance standards

Job context

Human requirements/ skills.

Methods of collecting data about the job:

Interview: Three types of interview. It includes:

Individual interview with each employee

Group interview with group of employees

Supervisor of the concerned employee.

Observation: Directly observe the activities of the employee without asking him/her questions.
Job Description:
A job description is a written statement of what the job holder actually does, how he or she does
it, and under what conditions the job is performed. It includes:

Job Identification

Job summary

Relationship responsibilities and duties.

Working conditions etc.

Job Identification
It includes:

Job title: Probationary officer.

Job status: Entry level officer.

Job Code:

Date:

Written by: Human resource manager

Approved by: Managing director.

Department: General banking.

Immediate supervisors title: AVP

Grade: Second grade.

Pay range: 20,000-30,000.

Job Summary
For a probationary officer, in his probation period he moves from one department to another
department according to job rotation. Normally, he covers activities of three basic departments of
a bank. Departments are

General Banking
Foreign Trade
Credit

In General banking department, he does the basic customer related jobs. Such as account
opening, clearing, cash received cash payment etc.
In Foreign Trade department, he normally learns to work related to LC (Letter of Credit) opening
and documentation.
In the Credit department, he learns different types of activities related to different sorts of loan,
making proposal, clients credit policy and facilities and also credit terms.
After this probation period, he has to attend a foundation training course that is organized either
by BIBM (Bangladesh Institute of Bank Management) or by banks own training institute.
Relationship
A probationary officer has to report his supervisor or his departmental head about his job.
He has to maintain relationship with all his colleagues.

Job Specification

Education

A probationary officer must have the academic background like BBA, MBA degree.

Experience

It is better if a probationary officer has experience in the relevant field. But, people without any
experience are also allowed to work in the bank if they have high educational background.

Knowledge

A probationary officer must have banking knowledge.

Skill

A probationary officer must have computer skill (MS Word, MS Excel, and MS PowerPoint, MS
Outlook, interpersonal skill etc.

Abilities

A probationary officer must have mathematical and analytical abilities for problem solving.
Job Description of employees of different departments
Account officers:

Checking bills & forwarding for payment approval.

Daily cash & Bank balance statement preparing.

Payroll preparing & cash disbursement.

Maintaining cheque issue register.

Keeping records of all documents.

Daily/ monthly reconciliation with bank ledger

Responsible for monthly/quarterly financial reporting

Assist external auditor in conducting annual audit of the company.

Assist in liaising with Bangladesh Bank and other Government agencies.

Other duties as assigned

Finance officers

Preparation of budget, forecasts, monthly, quarterly and other reporting

Analyzing and controlling expense

Maintaining accounts of Provided Funds, Pension Funds, Gratuity Funds and Workers' Profit

Participation Funds

Ensuring proper investment of funds

Financial analysis for various forecasting and budgetary management

Manager

Schedule the project in logical steps and budget time required to meet deadlines.

Prepare contracts and negotiate revisions, changes and additions to contractual agreements

with banks clients

Direct and supervise employees

Develop and implement quality control programs.

Plan, organize, and direct activities concerned with the bank and maintenance of equipments,

facilities, and systems.

Credit Officers

Responsible for managing payments from credit customers

Credit assessment, Communicating, setting payment date and collecting payment from credit

customers

Making outgoing and receiving incoming calls to facilitate collection and resolution of credit

accounts

Establish relationship and communication with allocated credit Customer.

Responsible for ensuring that pending invoices have all necessary support documentation to

facilitate payments.

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Contact with appropriate individual regarding past due balance for collection.

Coordinate with Delivery, Sales and Finance team in collection effort.

Foreign Trade Officer

Handling L/C, make documentations; decide the credit limits of the customers.

General Banking Officer

Handling cash receipts & payments, depository products, personal banking products such as

ATM cards, Credit cards, foreign remittance etc.

SELECTION PROCESS

BRAC BANK LTD. thinks that the prosperity of the bank is depends on customer satisfaction.
They need that kind of employees who can give them quality full service. BRAC BANK LTD.
follows a procedure to select employees for any blank post .The steps are as follows:
Hiring decision
This is the first step of their selection process. When there is any vacancy in the organization, the
authority feels that they need employee for the post. Then they make the decision to recruit
people there. They also decide how many people they need in which post. Recruitment takes
place when there is

New position arising out of new business direction

Vacancy arising because of resignation/retirement

Annual Planned Recruitment of fresh graduates

Review for application and resumes

The second step they follow is to make a review of the resumes and applications of the
applicants. Then they assess those and see whether the applicants are actually eligible for the
post or not. They select those applicants for the next steps whose qualification meet their
requirements for the job.

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Selection test
After the review The BRAC BANK LTD. take selection test of the applicants. In this step they
follow two different procedures. One is adopted for the fresher or new comers; another is for the
experienced applicants.
For the fresher or those who have no past experience for the job, they arrange a written test. They
give the responsibility to IBA or BIBM to make question set for them and take the test. Then
they select people for interview who pass the test.
They do not take any written test for the applicants who have past experience. Those employees
are directly called for the interview.
Employee interview
The applicants, who are qualified in the previous stage, are selected for this stage. In this stage
they have to face a whole day assessment program for the final selection. The interviewers assign
them different assignment and practical works for the whole day. Thus interviewers can
understand if the employees will be able to work in bank smoothly. They also seek information
about their academic achievement, personal qualities and skills.
Personal reference and background check
Some applicants attach some references with their applications. The bank authority sometimes
checks the references. If the bank authority thinks that they have some confusion about the
employee, then they go through the process.
Final decision
This is the last part they follow for the entire selection process. At this stage they make the final
decision about who will be the employees for their jobs.

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STEPS OF SELECTION PROCESS

STEPS OF SELECTION PROCESS

HIRING DECISION
HIRING DECISION
REVIEW OF APPLICATIONS AND RESUMES
REVIEW OF APPLICATIONS AND RESUMES
SELECTION TESTS
SELECTION TESTS
EMPLOYEE INTERVIEWS
EMPLOYEE INTERVIEWS
REFERENCES AND BACKGROUND CHECKS
REFERENCES AND BACKGROUND CHECKS
FINAL SELECTION
FINAL SELECTION

REJECTION
REJECTION

EMPLOYEE ORIENTATION AND TRAINING

What is Employee Training

Training is a learning experience in that it seeks a relatively permanent change in an individual
that will improve his or her ability to perform on the job. Training can involve the changing what
employees know, how they work, their attitudes toward their work, or their interaction with their
co-workers or supervisor.
We differentiate between employee training and employee development for one particular
reason. Although both are similar in the methods used to affect learning, their time frames differ.
Training is more present-day oriented; its focus is on individuals current jobs, enhancing those
specific skills and abilities to immediately perform their jobs.
Employee development, on the other hand, focuses on future jobs in the organization. As any
career progresses and you move up in any field, new skills and abilities are required.

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As you are groomed for positions of greater responsibility in the company, employee
development efforts will help prepare you for that day.
Irrespective of whether we are involved in employee training or employee development, the
same outcome is required- that is, these programs are designed ton enhance learning, so that
employees are more effective and efficient on the job. Since learning is critical to both these
efforts, lets take a look at what I mean by learning.
Determining Training Needs and Priorities
Now that we have an understanding of what training should include, we can look at how to
assess whether there is a need for training. We propose that management can determine this by
answering few questions:

What are the organizations goals?

What tasks must be completed to achieve these goals?

What behaviors are necessary for each job incumbent to complete his or her assigned tasks?

What deficiencies, if any, do incumbents have in the skills, knowledge or attitudes required

to perform the necessary behaviors?

These questions demonstrate the lose link between strategic human resources planning and the
determination of training needs. Based on my determination of the organizations needs, the type
of work to be done, and the type of skills necessary to complete this work, my training program
should follow naturally. Once I can answer question 4, I have a grasp of the extent and nature of
my training needs.
Identification of Training Needs
The identification of a training need means that performance is not up to the level required and
this in turn means that both the existing level of achievement and that required have been
measured and assessed.
Training needs can obviously be many and various depending on the nature of the job to be done
and the people who have to perform the jobs. They can be expressed generally in terms of skills,

14

attitudes and knowledge. Some needs may cover this whole spectrum while other, perhaps may
concentrate on singular aspects only.
Whoever may identify the training need; the process of identification is similar and can be
expressed in the model shown in the following figure.
(1) SUGGESTION OR SUSPICION
(1)
SUGGESTION
OREXISTS
SUSPICION
THAT
A PROBLEM
THAT A PROBLEM EXISTS
SYMPTOMS COME
SYMPTOMS COME
TO LIGHT
TO LIGHT
(4) CONFIRMATION OF
(4) CONFIRMATION OF
THE TRAINING NEED
THE TRAINING NEED

(2) RECOGNITION THAT

(2)
RECOGNITION
THAT
A TRAINING
NEED
A TRAINING
NEED
EXISTS
EXISTS
IDENTIFICATION
OFIDENTIFICATION
THE PROBLEM
OF THE PROBLEM
(3)DATA
(3)DATA
COLLECTION
COLLECTION

Employee Development
Employee development, by design, is more future oriented and more concerned with education
than employee training. By education we mean that employee development activities attempt to
instill sound reasoning processes- to enhance ones ability to understand and interpret
knowledge- rather than imparting a body of facts or teaching a specific set of motor skills.
Development, therefore, focuses more on the employees personal growth.
Successful employee prepared for positions of greater responsibility have analytical, human,
conceptual, and specialized skills. They are able to think and understand. Training, per se, cannot
overcome an individuals inability to understand cause-and effect relationships, to synthesize
from experience, to visualize relationships, or to think logically. As a result, I suggest that
employee development be predominantly an education process rather than a training process.
The words predominantly an education process should be noted. In contrast to what I have said
above, certain activities that employees engage in are programmable, and for these training can
be helpful. Potential managers need good listening skills, interviewing competence, and the
ability to read, analyze, and classify types of employee behavior. Training can improve these

15

types of skills. Unfortunately, effectiveness in jobs of greater magnitude requires considerably

more than the acquisition of any specific or specialized skills.
Evaluating Training and Development Effectiveness
Irrespective of the type of training or development effort underway, they must be cost effective.
Only by analyzing such programs can effectiveness be determined. For example, with whether
employment tests actually differentiated between satisfactory and unsatisfactory job performers.
This same concern for effectiveness arises when we discover training or development activities.
It is not enough to merely assume that any training an organization offers is effective; I must
develop substantive data whether my training effort is achieving its goals-that is, if it is
correcting the deficiencies in skills, knowledge, or attitudes that Ire assessed as needing
attention. The costs incurred alone identify evaluating the effectiveness.
It is easy to generate a new training program, but if the training effort is not evaluated, it
becomes possible to rationalize any employee-training efforts. To avoid the uncontrolled
expansion of training costs, management must insist on a thorough cost-benefit evaluation to
ensure that training money generates satisfactory returns.

Test-retest method

Pre-post performance method

Experimental-control-group method.

To conduct this analysis, we need to generate three measures: cost, change, and performance
results. The costs are those monetary outlays for providing the training-consulting fees, room
rentals, supplies, salaries of the training department, and overhead. We can then determine a cost
per trainee. But we must also be prudent, for it is estimated that more than 60 percent of my
training costs go for travel, lodging, and room fees. The change factors looks at the difference
between what one knows after the training compared with before the training. This knowledge
change can then be expressed as a ratio and can be obtained through pre-testing and post-testing.
The change factors could also be expressed in behavioral, attitudes, or performance terms. The
last factor, performance results, tries to show what changes was solely attributed to the training
program.

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Socialization
Socialization is the process of adaptation. This process is mainly done to make the new employee
adopt the whole environment of the organization. Organizational entry socialization is perhaps
the most obvious socialization process that every new recruit should go through.
Elements of Socialization:

The Organizational Culture

Role

Norms

Orientation is the first step towards the socialization process Orientation refers to the activities
that involve introducing the new recruit to the organization and his/ her work unit. It is the
beginning of the Socialization process. Afterwards the training and development process and the
socialization process are performed simultaneously.
Extensive Training
Some effective and efficient employees are sent for training in other countries. This is a
motivating factor. Each year ten to twelve employees are sent for the training with a higher
payment. The employees are selected based on their performance throughout the year. This
training program is mainly to make the employee learn about the working conditions of other
international branches. They observe the different ways and imply them afterwards in their
respective plant.

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Sketch of Training Need and Evaluation Process

SUSPECT EXISTENCE OF A PROBLEM
SUSPECT EXISTENCE OF A PROBLEM
CONSIDER JOB DESCRIPTION
CONSIDER JOB DESCRIPTION
PROCEDURE JOB DESCRIPTION
PROCEDURE JOB DESCRIPTION
CONDUCT JOB AND TASK ANALYSIS
CONDUCT JOB AND TASK ANALYSIS
IDENTIFY ERRORS AND OMISSIONS
IDENTIFY ERRORS AND OMISSIONS
TRAINING NEEDS
TRAINING NEEDS
DETERMINE MOST EFFECTIVE METHOD OF LEARNING
DETERMINE MOST EFFECTIVE METHOD OF LEARNING
TEST EXISTING SKILLS, KNOWLEDGE, ATTITUDES
TEST EXISTING SKILLS, KNOWLEDGE, ATTITUDES
CONDUCT TRAINING EVENT
CONDUCT TRAINING EVENT
IMMEDIATE REACTION TESTING
IMMEDIATE REACTION TESTING
SESSION, SECTION, DAY REVIEWS
SESSION, SECTION, DAY REVIEWS
END OF COURSE TESTING OF SKILLS, KNOWLEDGE, ATTITUDES
END OF COURSE TESTING OF SKILLS, KNOWLEDGE, ATTITUDES
END OF COURSE VALIDATION REVIEW
END OF COURSE VALIDATION REVIEW
MID TERM EVALUATION FOLLOWUP
MID TERM EVALUATION FOLLOWUP
LONG TERM EVALUATION FOLLOWUP
LONG TERM EVALUATION FOLLOWUP

FOURTH TESTING OF SKILLS

FOURTH TESTING OF SKILLS

IDENTIFY CONTROL GROUPS

IDENTIFY CONTROL GROUPS

THIRD TESTING OF SKILLS

THIRD TESTING OF SKILLS

TEXT EXISTING SKILLS ETC.

TEXT EXISTING SKILLS ETC.

SECOND TESTING OF SKILL ETC.

SECOND TESTING OF SKILL ETC.
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Employee Training & Developing Programs

After receiving the appointment letter the employee has to go through a minimum of two months
training program. BRAC BANK LTD. by recruiting the employee already came to know about
the employees knowledge about his own field. Therefore the initial recruiting process starts
from the other departments.
A newly recruited employee has to work in every single department in both the plants. They
actually observe the whole process and try to link every department together. Through such an
experience the new employee comes to know about all the departments, how they work and why
they are important. According to BRAC BANK LTD. this process is very effective because it
will make the employee clear of the whole system and he eventually come to know for which
information which department is liable. Apart from all these factors this training program will
make the new employee to know and meet with every other employee. A friendly and
cooperative environment can be created and maintain in this way
At last the employees get the training to work under their own department. The department head
select an employee to train the new one.
The total training program is set by the Human Resource Department.
Workers Training & Developing Program:
The manufacturing plant has different section. Each permanent workers need to pass through a
six weeks training program. Here the supervisor is responsible for the training. The workers look
the whole process and get acquainted with all the machines. They are taught how to use the
machines and also how to manage the raw materials. This training program is important for
effective use of resources.
Temporary and casual workers are usually trained in the same process as the permanent workers.
The training of the permanent workers is done under the supervisors whereas the temporary and
casual workers get trained under the permanent workers.

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PERFORMANCE APPRAISAL

Performance appraisal means evaluating an employees current or past performance relative to

the persons performance standard.
The major objectives of performance appraisal are:

Identifying employees for salary increases, promotion, transfer and lay off or termination of

services.

Determining training needs for further improvement in performance.

Motivating employees by indicating their performance levels.

Providing an opportunity for managers & subordinates to review his/her work related

behaviors. It also helps initiating corrective measures should there be any deficiency.

Providing an opportunity to review the persons career plan in light of his/her strengths &

weaknesses.

Appraisals help managers better manage & improve firms performance.

Performance Appraisal at BRAC Bank Limited:

BRAC Bank practices performance appraisal to evaluate their employees performance. They use
measurable criteria for evaluating their employees.
The core purpose of BRAC BANK LTD.s performance appraisal- is to promote or increase
salary of their employees whose performance is better comparing to other employees.
BRAC BANK LTD.s practices performance appraisal by marking the employees office
attending time, interpersonal skill, desk watch performance, business performance etc.
It happens on- yearly basis.
It helps to:

Align employee objectives to the business goals. Enable strategic Performance Management

through Management by Objectives (MBO)

Measure and Assess employee performance periodically and provide feedback and support to

achieve quantitative, qualitative and process targets

Evaluate and track Hi-Performance and achievers based on Competency driven practices.

Enable Reward and Recognition

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The evaluation is done by the supervisors of the particular employees. The evaluation sheet
should be signed by the both supervisor and the employee. If the employee is satisfied with his
evaluation then the supervisor signs and gives it to the HR department.
However, if the employee is not satisfied with the evaluation then he signs after writing on the
evaluation sheet that he does not agree. Moreover, managers are allowed to share the appraisal
information with the employees by sending them the filled evaluation sheet.

Process of Performance Appraisal:

ASSOCIATE
ASSOCIATE
SUPERVISOR
SUPERVISOR
REVIEWER
REVIEWER
ASSOCIATE
ASSOCIATE

ACCEPT
ACCEPT

REJECT
REJECT
HR DEPARTMENT
HR DEPARTMENT

Sample of Performance Appraisal Form:

Name:
Department:
Date Joining:
Service: Y_M Age: Y_M
Academic: (Last Degree)
Rating: Poor-1

Fair-2

Appraisal Year: 2009-2010.

Designation:
Jobs:
Job grade (Assess by Responsibilities)
Professional Training:
Good-3

Very Good-4

And Excellent-5

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Excellent (E)= 5 points: It means an outstanding employee all the way (knows the job,

exceeds target and job objective consistently, initiative & drive, looks for new tasks without
waiting to be told, capable to shoulder higher responsibilities, multi-skilled, team workers,
creative, have passion to win, helps other, positive attitude & manner, punctual, co-operative,
produces services above self interest, and at the cost of self inconvenience, contribute new ideas,
keeps commitment, well manages time, high integrity/ honesty, commands respect from others
and a person to follow as role model) Clearly excellent performance exemplary and leading
edge.

Very good (VG) = 4 points: Definitely Superior to the standard expected of a competent

experienced and acceptable employee. Such employee must have at least 75% + of the
attributes/ quality as stated in Excellent grade- Clearly fully satisfactory performance
exceeding expectation.

Good (G) = 3 point: A good all-round employee well suited to his work and of the standard

expected. Such employee must have at least 65% + of the attributes & qualities as stated in the
Excellent grade- Clearly standard performance meeting expectation.

Fair (F)=2 points: Work is not fully considered satisfactory owing to one or few

deficiencies or weakness in standards of work, but considered Acceptable But Needs

Improvement & Development. Such employee must have at least 55% + + of the attributes &
qualities as stated in the Excellent grade.

Poor (P) = 1point: work is Unsatisfactory far below standard expected, necessary to take a

call for replacement after one or two changes or immediately. In this grading appraiser must
mention by a special note indicating the course of action.

22

Performance Rating Factors & Guideline

1. Summary of actual performance on the assigned job (State in brief, how was the
performance during this period, what was expected from him, how was the delivery
against job objectives, any significant achievement & value addition job by incumbent.
Also highlight* any critical weakness(es):
Factors
Description
2. Job skill profile a)Required job skills & knowledge
coupled with

are in place with the person & is able

conduct,

to fully apply in job situation

attendance and

b)Obedient to rules & regulation,

punctuality.
3. Clarity on

attendance & punctuality

a) Understands the totality of a

business

business situation and sees clearly

what needs to be done and how to do

it.
b) Ability to clearly identify goals,
4. Practical

sets priorities& able to make plans.

a)Demonstrate flexibility of thinking,

creativity

creates new business insights which

can be turned into realistic plans
b) Able

to

produce

innovative

5. Objective

solutions to problems.
a) Develop accurate,

analytical power

assessment of the issues even in a

objective

complex situation
b) Able to make realistic assessment
of opportunity & threats on a
demanding issue.

23

6. Customer focus

a) Understands developments in the

external

world

understands

and

&

anticipates,

addresses

the

changing needs of consumers &

customers.
b) Able to focus internal & external
7.

Initiative

drive

customers & to resolve their issues

& a) Is energetic & determined in
improving business results. Take
initiatives often involving calculated
risks.
b) One who is always driven towards
achievements & makes optimum
utilization of opportunity & find best

8. Leading others

way of doing things.

a) Inspire others to high standard
performance. Is enthusiastic to get
the best out of people.

9. Developing

a) Develop skills & competencies of

others.

others & guides appropriate behaviors.

Creates opportunities for development
& growth of others.
b) Enhance team performance through

10. Influencing

constructive feedback.
a) Builds effective relationship with

others

colleagues, clients.
b) Understands his colleagues, adopts
right approach & builds rapport to gain
support & commitment without using
official authority to achieve goals.

Overall Rating: 50= 100%.#P=less than 50%, #F= 50%, #G=65% above, # VG=75%,

#EX=85%
COMPENSATION

24

There is no particular definition of compensation. From in depth research we have that

compensation is the benefit package for the employees that are offered by the organization, such
as flexible working schedules, insurance (health, dental, eye) etc.
WHAT IS A COMPENSATION PACKAGE?
Its easy to think dollars per hour when thinking about compensation. Successful compensation
packages, however, are more like a total rewards system, containing non-monetary, direct and
indirect elements. Non-Monetary Compensation can include any benefit an employee receives
from an employer or job that does not involve tangible value. This includes career and social
rewards such as job security, flexible hours and opportunity for growth, praise and recognition,
task enjoyment and friendships. Direct compensation is an employees base wage. It can be an
annual salary, hourly wage or any performance based pay that an employee receives, such as
profitsharing bonuses. Indirect Compensation is far more varied, including everything from
legally required public protection programs such as Social Security to health insurance,
retirement programs, paid leave, childcare or housing.
Employers have a wide variety of compensation elements from which to choose. By combining
many of these compensation alternatives, progressive managers can create compensation
packages that are as individual as the employees who receive them.
The general consensus of recent studies is that pay should be tied to performance to be effective.
However, with traditional farming operations, that is not easily done. Business performance can
be affected by many factors over which employees have no influence, specifically weather.
COMPENSATION
Successful managers must search forCOMPENSATION
things employees influence and base performance
FINANCIAL
COMPENSATION
objectives
on theseCOMPENSATOIN
areas. Your operation may benefitNON-FINANCIAL
from the following:
tenure bonuses for
FINANCIAL COMPENSATOIN
NON-FINANCIAL COMPENSATION
longtime employees, equipment repair incentives to encourage good equipment maintenance, or
INSURANCE
INSURANCE
DIRECT
bonuses for arriving
to PAY
work on time. The more production information data
your business has,
DIRECT PAY
VACATION
VACATION
the easier this is to accomplish.
Measures such as feed conversion rates, somatic
cell count or
SALARY
SALARY
HOLIDAY
mortality can offer great sources for performance incentive.
HOLIDAY
INCENTIVES
MEDICAL FACILITIES
INCENTIVES
MEDICAL FACILITIES
MERIT PAY
MERIT PAY
COMMISSION
COMMISSION
BONUS
BONUS
25
GRATUITY
AFTER RETAIRMENT BENEFIT
GRATUITY
AFTER RETAIRMENT BENEFIT
PROVIDENT FUND

TYPES OF COMPENSATION
There are different types of compensation benefit. Mainly 2 types compensation, one is
Financial and another one is Non- financial: Financial Benefits
Pay for performance (incentive system) reward employee performance on the basis of three
assumptions
Individual employee and work teams differ in how much it contribute to the firm not only in
what they do but also in how they do it.
Firms overall performance depends to a large degree on the performance of individuals and
groups within in the firms.
To attract, retain and motivate performers and to be fair to all employees.

26

DIRECT PAY

Salary

The amount of money an employee gets monthly for his or her job.
INCENTIVES

Merit Pay

Any salary increase awarded based in his or her individual performance. It normally given once
in a year or it may be twice or thrice.

Bonus

A financial incentive that is given o a onetime basis and does not raise the employees base pay
permanently.

Commission

Commission is usually paid to the sales people according to the employees performance.
After Retirement Benefits

Provident Fund

Provident fund is a benefit in which employees are paid after doing a minimum service for the
company. Here they will get a certain amount of money like 3 or 5 percent from his own basic
salary and from the companys stock.

Gratuity

Gratuity is another financial benefit that is offered to the employees after retirement. If an
employee works for certain number of year (the number varies from company to company) he
gets a monetary benefit of one basic salary for each year he or she worked in the company.
NON-FINANCIAL BENEFITS

Insurance

A contract that provides compensation for specific losses in exchange for a periodic payment. An
individual contract is known as an insurance policy, and the periodic payment is known as an
insurance premium.

Award

27

A one-time reward, usually given in the form on tangible prize. It may be like certificate,
testimonials, air ticket etc.

Vacation

Company provides different kind of vacation to its employee for recreation. This includes
systematically increased paid vacation period, Casual leave, Earn leave etc.
BRAC BANK LTD.S HR COMPENSATION
BONUS
BRAC BANK LTD. offers its employees both regular and surprise bonuses. Regular bonuses are
given in two Eid as festival bonus. Beside this BRAC BANK LTD. offers bonuses for good
performance and as goal completion reward.
AWARDS
HR of BRAC BANK LTD. offers certificates for outstanding performance of their employees.
Normally per year minimum 6 to 8 employees are awarded with certificates and some other nonfinancial reward like air tickets of Dhaka-Bangkok-Dhaka for their outstanding performance.
INCREMENT
BRAC BANK LTD. provides increment to their employee that depends on their performance and
sometimes seniority. When an employee shows outstanding performance, he is offered an
increment. Sometimes BRAC BANK LTD. cannot give promotion to its employees in time and
then they offered them an increment in their salary.
Salary
HR of BRAC BANK LTD. offers different salary packages for its employees. The amount of
salary depends on both seniority and performance. Thus two employees in the same position can
get different salaries and incentives for their different performance. These variations occur only
in the case on senior employees. The entry-level employees who join BRAC BANK LTD. as
management trainee usually get the same amount of salary.
In BRAC BANK LTD., starting salary of an employee is tk.20, 000. Salary of a probationary
officer is tk. 30,000-35,000. Salary of mid level officer is tk.80, 000-1, 20,000 and salary of top
level officer is tk.1, 50,000-3, 00,000.
28

HYPOTHETICAL SALARY STRUCTURE OF BRAC BANK LTD.

MANAGING DIRECTOR (3, 00,000tk)
MANAGING DIRECTOR (3, 00,000tk)
SENIOR EXECUTIVE VICE PRESIDENT (SEVP) (2, 50,000tk)
SENIOR EXECUTIVE VICE PRESIDENT (SEVP) (2, 50,000tk)
EXECUTIVE VICE PRESIDENT (EVP) (1,50000tk)
EXECUTIVE VICE PRESIDENT (EVP) (1,50000tk)
SENIOR VICE PRESIDENT (SVP) (1,20000tk)
SENIOR VICE PRESIDENT (SVP) (1,20000tk)
VICE PRESIDENT (VP) (80,000-1,20000tk)
VICE PRESIDENT (VP) (80,000-1,20000tk)
FIRST VICE PRESIDENT (FVP) (80,000-1,00000tk)
FIRST VICE PRESIDENT (FVP) (80,000-1,00000tk)
ASSISTANCE VICE PRESIDENT (AVP) (80,000-1,00000tk)
ASSISTANCE VICE PRESIDENT (AVP) (80,000-1,00000tk)
FIRST ASSISTANCE VICE PRESIDENT (FAVP) (80,000tk)
FIRST ASSISTANCE VICE PRESIDENT (FAVP) (80,000tk)
SENIOR EXECUTIVE OFFICER (70,000tk)
SENIOR EXECUTIVE OFFICER (70,000tk)
EXECUTIVE OFFICER (55,000-65,000tk)
EXECUTIVE OFFICER (55,000-65,000tk)
SENIOR OFFICER (45,000tk)
SENIOR OFFICER (45,000tk)
OFFICER (40,000tk)
OFFICER (40,000tk)
JUNIOR OFFICER (35,000tk)
JUNIOR OFFICER (35,000tk)
ASSISTANCE OFFICER (30,000tk)
ASSISTANCE OFFICER (30,000tk)
BANKING OFFICER (25,000tk)
BANKING OFFICER (25,000tk)
TELLER (20,000tk)
TELLER (20,000tk)
PROVIDENT FUND

29

BRAC BANK LTD. employees get the opportunity of PF. For this every month 10% of
employees salary is saved in the bank account of BRAC BANK LTD.

30

The condition says if employees work for at least 5 years in BRAC BANK LTD., they will get
the whole amount saved every month for their PF and also bank will provide the same amount of
money, which will be added, with their actual amount. After this a certain amount of interest will
be added with this total amount. All these will happen when the employees will work at least for
five years in the bank. Otherwise they will get only the saved amount of their PF. If an employer
wants he or she can take up to 90% loan from their provident fund with a minimum interest rate,
which varies.
Example
If Mr. X has worked for 12 years total in BRAC BANK LTD. and now want to retire then he will
be given his provident funds in according to this calculation: (Assuming his base salary was
12000/-) His monthly PF charge is 12000*10% = 1200/-. After twelve years he will be given his
(1200*12years*12months) =172800/- plus BRAC BANK LTD.s same amount of money as PF
policy and upon the whole amount, 12 %( assuming it as it varies from time to time) Govt.
interest which makes a total of: (172800+172800)*1.12 = 387072/- Tk. If an employee leaves his
or her job after 3 yrs he or she will get (1200*12months*3yrs) = 43200/- + bank rate @ 12% of
the total (5184/-) = 48384/GRATUITY
Gratuity system is active in BRAC BANK LTD.. To get this kind of incentives, employees will
have to work at leas for 10 years. After 10 years if they quit from the job they will get an amount
that is equal to their last basic multiplied by ten.
Example
If an employee starts working in BRAC BANK LTD. with the salary of 10,000 and after ten
years he gets 35,000 and decides to leave the job, he will get his gratuity which is equal to
(35,000*10)= tk350,000.
INSURANCE
BRAC BANK LTD. provides life insurance coverage for its employees with its own risk. They
dont go for any agreement with any insurance company. They maintain a separate fund in their
bank for this policy. BRAC BANK LTD provides health insurance for each employee once in a

31

year, which is equal to 3 times of their salary (if needed). In the life insurance package BRAC
BANK LTD. pay a certain amount of money for damage of body. This amount varies depending
on the damage of body.
TRANSPORTATION FACILITY
BRAC BANK LTD. provides transportation facility to the officers of the upper mid level to the
top level. Bank provides them credit facility for buying car at 6% interest rate only.
LEAVE PROVISIONS

Causal Leave

15 days. An employee can take this leave yearly. And, if he does not utilize the leave properly
then next year he will not get any advantage.

Earned Leave

30 days. An employee can take this leave yearly. If he takes it for 15 days this year, then he will
get 45 days Earned leave next year.

Sick Leave

3 days. An employee must give an application to his supervisor for sickness leave. These 3 days
will be cut from his causal leave. And. If it is more than 3 days then it will be cut from his
Earned Leave.

Maternity Leave

4 months
GENERAL REGULATION OF LEAVE

An employee shall not remain absent himself from duty or leave his place of posting on any

ground what so ever without obtaining prior leave from the competent authority.

No employee shall remain absent himself from duty on sick ground without applying for sick

leave based on doctors advice.

No employee shall overstay against his sanctioned leave, without obtaining additional leave

from competent authority. No Employee who overstays without obtaining prior permission
thereof shall not draw get salary for the period of such overstay unless post fact to sanction is
obtained.

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Application for leave should reach General Manager (Admin & HR) with the

recommendation of the departmental a head 48 hours for casual leave and 5 days a head for
respect of earn leave. Management reserves the right approve/disapprove the application of
leave. Maximum living of casual and earn leave will be 3 days & 5 days respectively.
HOLIDAYS
Government holidays and specially bank holiday that is the 1st July.

EMPLOYEE RELATIONS

This employee relations section of the Human Resources Department is responsible for liaison
with employee representative bodies, monitoring procedures, and developing proposals for the
management consideration. Sound employee relations should be based on effective mechanisms
for communication and participation. A safe and effective work environment requires
commitment and motivation of all staff. All the following should be addressed to the HR by the
employees in a professional manner.

Employee Representation

Victimization/Coercion

Collective Bargaining

Communication and Consultation

Grievance Resolution

Discipline

Poor Performance

Employee Relations Training

There should be professionalism and persistence in all communications. Both HR and employees
are required have a positive behavior and outcomes, problem-solving approach, work together to
anticipate problems, recommend solutions and be able to offer sound advice to senior managers
about implementation. Most importantly all acts should be done to fit policies and practices and
to suit the organizations goals and the character of its workforce.

33

A staff member is required to maintain certain standards of performance. A staff member who
fails to maintain laid-down standards of performance in accordance with his/her employment
contract, specific job requirements and/or the bank rules, renders himself/herself liable to
corrective action.
DRESS CODE
The employees have to follow the company stated dress code. All employees have to wear a light
colored shirt and a deep colored pant. Wearing a tie is mandatory especially for the front desk
employees. Also front desk employees are required to wear a coat at all times. During public
holidays, annual leave and if he/she is ill shall dress casually in business casuals. Shoes of black /
brown color can be worn only. Wearing sandals to office is prohibited during work. Cleanliness
in dress and appearance is mandatory. All male employees must maintain a proper hair dress and
shave / trim beard.
DOS AND DONTS/CODE OF CONDUCT
The employee must maintain strict discipline in the office during work hours. The staff member
is required to maintain certain standards of conduct. Any staff member who fails to maintain
acceptable standards of conduct in accordance with his/her employment contract, specific job
requirements and/or the bank rules, renders himself/herself liable to disciplinary action. Such
disciplinary action is designed to be corrective and to improve conduct (other than where
dismissal is warranted) and should be taken as soon as possible after the event.
WORKING HOURS
The staff is entitled to work for 48 hours a week. This applies to working days from Sunday to
Thursday. Weekend shall be on Friday and Saturday. The working hours are 10 a .m to 6 p.m.
The employee must work much longer when required. The company maintains a strict
attendance policy. Late entry, early exit and absence on work shall be reportable to the
management. Disciplinary action shall be taken if the situation requires so.

Weekly working days: From Saturday to Thursday of the week.

Weekly holiday: Friday of the week.

Late attendance: Three days late attendance will be treated 1 days absent.

34

SMOKING HOURS
Smoking inside the office premises is prohibited. Disciplinary action shall be taken against a
staff for such act.
SITUATIONS OF DISCIPLINARY ACTIONS
In BRAC BANK LTD., if any employee violates the code of conduct then management will take
the decision. All employees are expected to meet performance standards and behave
appropriately in the workplace. Disciplinary or corrective action shall be taken against the
employee to improve unacceptable behavior or performance. Disciplinary action shall be taken
only when other methods such as coaching and performance appraisal have not been successful.
In cases of serious misconduct, straight to disciplinary action shall be taken. In extreme cases,
such as job abandonment, theft, or an act that endangers others, the offense may be so grave that
management forgoes progressive discipline.
PROCEDURES OF DISCPLINARY ACTIONS
A staff shall face the following disciplinary actions

Suspension without Pay: Suspension will prevent work for a number of working days, as

specified in the letter, and pay is docked accordingly. Length of a suspension without pay will be
influenced by policy or contract requirements.

Reduction of Pay within a Class: The reduction of pay is for a specific period of time,

related to the seriousness of the performance discrepancy or work rule violation, and noted in the
letter.
The disciplinary letter will incorporate the same elements included in a suspension letter.

Demotion to a Lower Classification: This action will involve movement of the employee to

a lower level position, and may be temporary or permanent.

Dismissal: This shall be selected after performance counseling and progressive discipline

have failed to get the employee's attention to the problem.

In extreme cases, such as job abandonment, theft, or an act that endangers others, the offense
may be so grave that we forgo progressive discipline.

35

Miscellaneous
In cases, any other important matter is not included in this service code. Companys decision in
all matters will be treated as final. Time to time addition authorization and amendment will be
added to this code.
Employee Safety & Health

Safe computer screens

Quarterly fire drills

Code of Conduct and Chain of Command

Every employee of the bank must abide by the rules & regulations of the Bank as described

in this code.

Every employee of the Bank will follow Chain of Command of his immediate supervisor the

service code.

He should prove worthy of his employment by his honesty, sincerity and devotion to his duty.

His services will be governed by the job description and responsibility as defined in it.

In no circumstance he should take active part with any political party and shall not be

involved in any activities subversive to the state or of discipline.

Without the prior permission of his supervisor he shall not leave office & not encourage other

to do so.

No employee is entitled to take any bribe from any person or any business partner of the

Company.

No employee of the company is allowed to lodge any personal problems to companies

Directors without the consent of the authority concerned.

No employee is entitled to press the company management for any demand by him or with

the association of others.

No employee of the bank is allowed to meet media/outsiders to leak out banks internal

matters without the prior permission of management.

At the end of the financial year i.e. June, Departmental head will prepare annual confidential

report of all employees under his supervision.

36

Ground of Punishment
In the opinion of the management, if any employee is found guilty on the following:

Negligence of duty.

Misconduct/Insubordination

Absence from duties / run away from duty place.

Inefficient / incapable to perform duties.

Dishonest / corrupt.

Associates with misappropriation of fund / theft.

Detrimental to companys affairs.

Engaged in subversive activities against the state or of discipline.

Other allegations as recorded by the Company management.

Punishment
As and when, allegations of the aforesaid manner are brought against any employee; these will
be investigated in a systematic way as described in this code. Based on the investigation report
and recommendations of the inquiry committee, the top management may award the following
punishment:
I. Minor Punishment:

Warning Letter.

Deduction of Salary.

II. Major Punishment:

Demotion to lower grade/Post.

Realizing financial loss from his salary or other source.

Removal/Dismissal from service.

PROCEDURE OF DISCIPLINARY ACTIONS

In case of disciplinary actions, at first branch will conduct enquiry and then audit will conduct
enquiry and finally management will take decision about disciplinary actions.

37

CBA ELECTIONS
Not applicable in BRAC Bank limited since it is a private bank.
CBA AGREEMENT
Not applicable in BRAC Bank limited since it is a private bank.
TERMINATION LETTER
BRAC Bank gives termination letter to those employees who are involved with any kinds of
fraudulent, negligence of responsibilities and violation of the code of conduct.

Conclusion:
At the end of the HR manual of the Brac Bank Ltd, it can be said that the manual will play an
important role in the organizations for its smooth functioning. Though the manual is welldesigned, it also needs to be reviewed and revised time to time. For this purpose, the
management of the company keeps up with the changing trends and also keep tract of new legal
acts that may be enforced upon the working of organizations. BBL always tries to maintain HR
practices and stick to it in each and every respect regardless of being certain limitations.
This report is a comprehensive picture through which we can get view of how HR practice is
observed and followed, what its importance and also it can be a set example of HR practice to
other companies who are still also lagging behind to this issue and intend to incorporate HR
practice in their organization.

38

Bibliography
1. www.wikipedia.com
2. Chowdhury Md. Asad Al Zubary; CSM Agrabad Branch
3. Gerry Dessler
4. www.google.com
5. www.bracbankbd.com

39