Report on HR Management of Beximco Ltd

Course- MGT351
Section- 17
Submitted To:
Umme Hani Meem
Lecturer, Dept. of Management
North South University

Submitted By:
Group- ‘M’
Name ID
Nazeeb Faiaz 1911785630
Lubaba Rahman 1911395630
Nafisa Islam Nushin 1912196630
Nurunnahar 1912699030
Neha Ahmed 1911317030

Word count: 2739

Date of Submission: October 2, 2020

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Letter of Approval

Nazeeb Faiaz and group mates

MGT351 Section- 17
North South University
Plot- 15, Block- B, Bashundhara, Dhaka- 1229, Bangladesh

Date: October 2, 2020

Umme Hani Meem

Lecturer, Dept. of Management
North South University
Plot- 15, Block- B, Bashundhara, Dhaka- 1229, Bangladesh

Subject: Request for approval to work with Beximco Limited

Dear Madam,

I, Nazeeb Faiaz, am writing to you on behalf of the group mates to seek your approval for working
with Beximco Limited for our course report. Beximco Limited is a multinational company
headquartered in Dhaka, Bangladesh which running its business in pharmaceutical, holding,
clothing, stock market and TV networking DTH sector.

We intend to implement our classroom learning by collaborating with Beximco Limited. Beximco
is a multinational organization and it’s operating in different business sectors which have their
own HR departments. Our report aims to present the work of HR department of Beximco with its
five key areas.

We hope to bring forth the organizational process of Beximco by presenting the HR systems work
and our recommendations for it with your kind approval.

Best Regards,
Nazeeb Faiaz
Lubaba Rahman
Nafisa Islam Nushin
Nurunnahar
Neha Ahmed
ii

Letter of Transmittal

Nazeeb Faiaz and group mates

MGT351 Section- 17
North South University
Plot- 15, Block- B, Bashundhara, Dhaka- 1229, Bangladesh

Date: October 2, 2020

Umme Hani Meem

Lecturer, Dept. of Management
North South University
Plot- 15, Block- B, Bashundhara, Dhaka- 1229, Bangladesh

Subject: Submission of Report on Beximco Limited.

Dear Madam,

We are delighted to present you our final report on Beximco Limited. We found this work not only
challenging but also interesting. This report has helped us to get a comprehensive understanding
of the topic that we learned in class through hand-on experience. We would like thank each and
every person who have helped us in making this report successful. We would also like show our
highest gratitude to you, madam, for all your recommendations, suggestions and encouragements
that helped us immensely to make this report.

We sincerely hope that we have been able to match all the requirements of the report as per your
instructions. We humbly apologize for any mistake we might have done in making this report and
we also hope that you will kindly consider any inconsistency based on this report to guide us
accordingly. We fervently hope that you will be satisfied with our report.

Best Regards,
Nazeeb Faiaz ID- 1911785630
Lubaba Rahman ID- 1911395630
Nafisa Islam Nushin ID- 1912196630
Nurunnahar ID- 1912699030
Neha Ahmed ID- 1911317030
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Abstract

Beximco as a proven multinational company in Bangladesh’s major business sectors. So Beximco

requires a huge number of employee lineup to conduct its business and for that HR departments
there to handle employee affairs from start to end. The report solely describes the particular area
that Beximco HR department handles. Since Beximco conducts its business in pharmaceuticals,
holdings, clothing, stock market and DTH sector there are separate human resource departments
for each and they share the same policy which is also used in the report.

The human resource management of Beximco Limited is quite efficient because it is based on a
very structured manner. The main focus of Beximco Limited is to select worthy candidates through
their well-developed recruitment process. They always make sure that they are following the
international based structure.

The recruitment policy of Beximco Limited is very fair because they ensure that their departments
get the proper employee based on the requirements. Then their training and development process
is also well organized because it implies to their organizational benefit. They also have well
maintained orientation program. Performance appraisal of Beximco is totally based on their
employees which is conducted through the common and most used methods so that the employee
increment system is done in a proper manner.

At this we can say the following report will describe the various systems of Beximco human
resource department that took Beximco to the highest level of management benchmark. These
areas will define the employees overall job environment and lead them to achieve success in future
with the organization.
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Table of Content

Contents Page Number

Introduction 1

Company Overview 1

Purpose of the Project 2

Description 2-8

Recruitment and Selection 2-3

Orientation 3-4

Training and Development 4-5

Performance Appraisal 6

Compensation and Benefits 7-8

Recommendations 9-10

Conclusion 11

References 12

Appendix 13
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Introduction

Human resource management collects and tries to gather the best employees mainly deals with the
process of recruitment, training and managing employees of the company, basically an effective
workforce that will try its best to achieve the main objectives of the organization.

The company we chose for our report is The Bangladesh Export Import Company Limited, also
known as BEXIMCO. We did some research on it. We have also collected information from their
website, tried to get in contact with people who are currently working for Beximco.

Finally, with our amateur efforts and dedication, we tried our level best to assemble the information
of The HR department of Beximco as much as we could.

Company Overview

Today the BEXIMCO Group of companies is the largest private sector group in Bangladesh. It
was founded in the 1970's by two brothers – Ahmed Sohail Fasihur Rahman and Salman Fazlur
Rahman. (Beximco, 2020) As it has grown over times it now has a wide range of industries i.e.
textiles, pharmaceuticals, PPE, ceramics, real estate development, construction, trading, marine
food, information and communication technologies, media, DTH, financial services, and energy.
It sells its products and services nationally also internationally. It is the largest employer in the
private sector in Bangladesh and employs over 70,000 people worldwide.

The BEXIMCO name has now become one of the most famous brand names in Bangladesh. It has
four publicly traded and seventeen private companies. The publicly traded companies are
Bangladesh Export Import Company Limited, Beximco Pharmaceuticals Limited, Shinepukur
Ceramics Limited and Beximco Synthetics Limited.
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Purpose of the Project

We need to do this project to know about how the HR department of a certain Company works in
real life. We need to learn all the basics that is, how the company manages its human resources,
like how it recruits and selects, how it trains and develops, how it does performance appraisals,
how it gives compensation and benefits. After learning it theoretically, it will be more effective
for us to learn it practically by gathering real life experiences for doing this project.

Description

Recruitment and Selection

To search and obtain a suitable pool of candidate’s recruitment process should be followed step
by step. Job description and job specification supplies the necessary information on which the
recruitment process starts.

Well, at first, the interested candidates get to know about the vacant position, description of the
responsibilities and other information to apply for the job. The notices are usually posted on the
office notice board, they provide advertisements about job vacancies both offline and online,
through newspapers, online job portals like bdjobs.com and social medias. And employee referral
is simply a recommendation for skilled/talented candidates by the existing employees, when the
employee knows about the candidate the recruiter can easily trust on his employee which is also
secured. So, it actually saves money and time both. Also an employment agency helps to find the
appropriate employee for the company in exchange of money or other benefits according to the
contract. (Kamy, 2019) They send CVS to the job agency and after screening the CVs the
candidates are shortlisted.

The shortlisted candidates are called to attend a written test. But it is not always followed for every
recruitment. The shortlisted candidates are called for panel interviews and for hiring the employees
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of higher rank, interviewees of the panel are changed. Also, the candidate must go through a
medical checkup and criminal records are also checked. And this medical checkup is done in the
specific medical Centre selected by Beximco.

After that a formal offer letter is given to the selected candidate. The letter carries the information
of job responsibilities, salaries etc.

Orientation

A starter program to make connections with the new employees so that they feel more comfortable
with the new work environment and help them to acknowledge the organization’s expectations
and responsibilities. Beximco gives orientation in two parts to their new recruitments.

Benefits of orientation:

 Feel welcome and at ease: As a new employee it's very important to understand the work
place environment and feel welcomed. A multinational company like Beximco greets their
new employees cordially with their co-workers to communicate better with each other.
 Understand the organization: Companies like Beximco carry a huge history with loads
of effective ideas, perspectives and company values so it’s mandatory to understand the
organization.
 Know what is expected in work and behavior: Professionalism practices in Beximco
and employees represent the whole company. So employee need to work with respectful
behavior, maintaining proper dress code.
 Begin the socialization process: Orientation allows them to blend with the resting
members and reduces the extra pressure.

Employee Orientation

 Employee benefit Information: Beximco follows a compensation system such as

financial rewards to the employees and that attracts the new employees to stay productive
and work perfectly.
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 Personnel policies: Beximco has all the orientation guidelines to follow that lead them to
success so employee orientation helps to understand all the procedures.
 Daily routine: Beximco is extremely strict with dress code and punctuality. Assigned
mentors make them understand all the details in this process.
 Company Organization and operations: Company’s day to day structured plans,
performance, strategy are some the important acknowledgments.
 Safety measures: Introducing satisfactory medical, hygiene and sanitation facilities,
healthy safe work environment to the employees.
 Facilities tour: To give an overview of the company's process including employee’s job
area and help them to find other departments when needed is an essential part for Beximco.

Training and Development

TRAINING

A highly skilled human resource is one of the motivating forces of Beximco. Firstly, all employees
take basic training regarding behavior on job and its rules and regulations. All employees’ data
(who did which training and which are to be done yet) is stored and supervised through online
portal. Each department employees are divided into several teams with one team leader in each.
The team leader is trained at first and then he trains every one of his team. Team based training
strategy is their leading strength. (Beximco, 2020)
The following procedures are followed for training:
 Identifying the training needs: Figuring out the kind of training needed for each
employee and analyzing and marking out the attitudes, skills and knowledge (ASK) of the
job.

 Planning the training program and its implementation: Here the training stages are
prepared and the standards are set for each stage. The required equipment and methods for
the training are decided. Then finally the practical implementation is done by the HR
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executives.

Employee Training Method:

a. On the job Training: Beximco offers a huge range of training facilities of which In
House Training is the most favored one. It is held inside company property to improvise
the employee’s hard and soft skills according to the necessity while they are doing their
job.

b. Off the job training: Several talented employees are sent abroad for further training
in order to polish their skills. Case study method, Behavior modeling and outside
seminars training are given.

 Appraising the results: Finally the performance of the employees is evaluated by the
trainers and the employee activities score, willingness to the new programs, attitudes are
measured against the standards that had been set earlier. Later, feedback is given and steps
of improvement are taken if required.

DEVELOPMENT

Employee’s capabilities are developed on the job through these ways-

 Job Rotation: Trainees are moved from one department to another to broaden their
overall understanding of Beximco and to test their abilities.
 Coaching Approach: Here the trainee directly works with a manager of senior rank or
with the person they have to replace.
 Action learning: The employee trainees here are permitted to analyze and solve
problems in other departments by working a full time.
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Performance Appraisal

As we know that there are many methods to making performance appraisal. A business
organization can apply any one of them. But we find that Beximco basically follows the paired
comparison method, behaviorally anchored rating method and management objectives appraisal
method.

 Paired Comparison Method:

In Beximco they rank individual performance by counting the number of times any one individual
is the preferred with all other employees. They arrange both formal and informal meetings where
managers can meet and discuss performance with an employee. They allow managers to provide
the employees with feedbacks about their performance.

 Behaviorally Anchored Rating Scales:

Beximco generates critical incidence and develops behavioral dimensions of performance. The
evaluator appraises behaviors rather than traits. They use this method so that they can facilitate
more accurate ratings of the target employee's behavior or performance. Establishing specific
behaviors for grading, are meant to give the rating a higher degree of accuracy relative to
performance.

 Management Objectives (MBO):

Beximco includes mutual objective setting and evaluation based on the attainment of the specific
objectives. The major advantage of MBO lies in its results oriented emphasis. That’s because
employees know exactly what is expected of them and how they will be evaluated. Moreover,
employees understand that their evaluation will be based on the success in achieving mutually
agreed-on objectives.
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Compensation and Benefits

Compensation

The employee compensation policy of Beximco Limited is very organized as they follow the
international policy. Beximco conduct their employee compensation in two ways.

 Direct financial payments: Beximco’s direct financial payments consist employee salary,
bonus, increments and commotion. The salary program of Beximco is based on the position of
the employee based on the departments.

 Indirect financial payments: The indirect financial payments of Beximco Limited are
medical insurance, medical fund, maturity fund, provident funds. Every employee of Beximco
is entitled with the medical insurance.

Beximco also include four compensable factors when they compensate employees in general basis.

 Skill: Beximco always tries to compensate employees based on their hard skills and soft skills.

 Effort: Each employee in Beximco is measured by how much time they are putting for the job
and how much they are working for their own departments. Beximco also pays overtime work
for employees.

 Responsibility: This compensation of Beximco is based on each employee is dealing with how
many people and what are the tasks that need to be performed at that time.

 Working Conditions: Since Beximco is a multinational organization they have jobs that are
based in different locations which vary for each employee’s compensation.

Benefits

Most of the benefits are there for the employees as Beximco always tries to motivate their
employees.
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 Supplementary Benefits: Beximco has supplementary benefits on leaves. Those are annual
leave, casual leave, sick leave, maternity leave and festival leaves. For maternity leave
Beximco gives more than enough time to an employee.

 Insurance Benefits: In Beximco Limited they tend to give all kinds of insurance benefits and
provident fund to their employees. If any of their employee get seriously injured then Beximco
will use the insurance.

 Services: Beximco has different kinds of service for their employees in every position. They
have transport service for each and every employee and child care services.
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Recommendations

Beximco is a leading multinational organization that is conducting business in Bangladesh for a

very long time. To achieve this success their HR departments have always played a vital role
because they ensure the best employee management so that the organizations works are conducted
properly. But there are few recommendations in their five key areas that will enhance their
management more in an efficient way. The recommendations are solely based on the managerial
implications so that the HR departments could make a better performance output.

For recruitment and selection, it is a very long and time consuming process. They can take steps
to make it short and cost effective like they can employ a new approach to discover talents, they
should start hiring for attitude because it helps to access a wider talent group. Candidates who
passes the attitude test can be more efficient than others. They are willing enough to learn, to
develop new skills, improve themselves and contribute to the future of the Company.

Beximco uses a compensation system to hype their employees but compensation dissatisfaction
can be a turnover that can lead to employee’s low performance and job resentment. Competitive
co-workers might let down other new employees to win the extra wages that can be extremely
demotivating for them. Necessary monitoring and guidance must be taken.

For training and development, more advanced training and seminars can be arranged for the
employees and they can be sent to several corporate workshops for better experience. Behavior
modification and modeling should be prioritized as any misconduct might affect the productivity
of the work environment. Proper steps regarding it must be taken.

Performance appraisals are very time consuming. Behaviorally based appraisals are time
consuming and lack quantification and MBO are only result oriented and also time consuming.
(Aminul, 2014) However, Beximco can use graphic rating method so that they can rank according
to their performance levels. Also It is easier to rank the best and the worst employee of the
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company. Besides, the company can apply the Critical incident techniques (CIT) as this method
avoids bias. As we found that in every method there is some error. No one approach is always best,
each has its strength and weakness. (The Lawyers n Jurists, 2017) So individually no method is
so strong to apply. Our suggestion is that Beximco should try to be honest from their mind and
apply it in their work. As one increment or promotion can change some bodies’ life. No matter
what method the company is applying.

Beximco has most of the compensation and benefits programs for their employees but if they
implement some more they can have a strong employee base. In compensation they should add
more insurance service like life insurance policy for every employee and car insurance then their
employees would be more motivated and give more efforts to achieve the organizational roles. In
benefits Beximco should add severance leave which important for their employees. They also
should implement leave cost reduction tactics because it’s important to manage costs in
compensations and benefits.
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Conclusion

The pharmaceutical, textile and clothing industry are without any doubt very capable and
productive sectors in Bangladesh. Since the last decade, these sectors have provided the highest
number of employment opportunities for the people in our country. Beximco is one of those and
has taken the dependability of thousands of workers. It has not only gained popularity nationally
but also internationally. Supervising this massive labor force without a smoothly functioning and
capable human resource department is next to impossible. By this we can understand how
significant it is to have an enriched HRM department for any organization. By observing our
report, one can see that Beximco consists of a really strong HRM department. It has the ability and
experience to deal with any problem starting from a simplest one to the most complex one in
Beximco. No organization is fully perfect. No matter how much effort is put into making an
organization fully flawless, there always stays some lacking to some extent on the way.

Through our report we have talked about the recruitment and selection, training and development,
compensation and benefits, performance appraisal and orientation of Beximco. Not all of them are
fully effective or functioning at its best but through the recommendations provided above, the
shortcomings can be taken care of and improved or changed according to necessity. We can say
that Beximco has shown great maintenance in upholding the need of an efficient HRM department.
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References (APA Style)

1. Beximco. (2020). About Us, Beximco. Retrieved from Beximco:

https://www.beximco.com/?fbclid=IwAR3xw_7j6EJpYtL2Zt1-
QsovkouR0I74zA5ntqEoVEbpMgWNsxNrzxZUiMg#about

2. Anderson, K. (2019, April 26). Industry, Coassemble. Retrieved from Coassemble:

https://coassemble.com/blog/industry/7-ways-to-improve-the-recruitment-selection-
process/?fbclid=IwAR2POLdMtMseuQZ0snKFr-1CPcYyo-ykH887h3ebM0Nfr8mLkXyMUxsV3Qk

3. Beximco. (2020). Annual Report, Beximco. Retrieved from Beximco:

https://www.beximco.com/

4. Haque, A. (2014, December 02). Recruiting and HR, Slideshare. Retrieved from Slideshare:

https://www.slideshare.net/aminulhuq587/hrm-410-term-
paper?fbclid=IwAR1beI7WdExOlM8Ehnhx30mPJLfLgA4dvuWz-_Sa68ezM8ZQlAKW_EKtEaA

5. The Lawyers n Jurists. (2017). Article, The Lawyers n Jurists. Retrieved from The Lawyers n Jurists:

https://www.lawyersnjurists.com/article/performance-appraisal-of-beximco-textiles-
ltd/?fbclid=IwAR0NRYoKKQR4arpjR9He0xJABenzJmSCtt1dmNzcqTGKXJ7cQGe6wXjQ3Zc
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Appendix

Appendix A: Interview Transcript

“Interview Details”

Appendix B: Distribution of work

 Letter of Approval- Nazeeb Faiaz 1911785630

 Letter of Transmittal- Nazeeb Faiaz 1911785630

 Abstract- Nazeeb Faiaz 1911785630

 Introduction- Lubaba Rahman 1911395630

 Recruitment and Selection- Lubaba Rahman 1911395630

 Orientation- Nurunnahar 1912699030

 Training and Development- Nafisa Islam Nushin 1912196630

 Performance Appraisal- Neha Ahmed 1911317030

 Compensation and Benefits- Nazeeb Faiaz 1911785630

 Recommendations- Nazeeb, Lubaba, Nushin, Nurunnahar, and Neha

 Conclusion- Nafisa Islam Nushin 1912196630

 Editing- Nazeeb Faiaz 1911785630