Southeast University

Report On

Akij Group

Course Title: Business Ethics

Course Code: BUS3124

Sec : 04

Sumitted To

Iftekhar Sahab Uddin

Lecturer

Southeast Business School

Submitted By

Fazlul Karim Nishad 2017210000106

Date Of Submission :10/06/2020

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Letter of Transmittal

10th June, 2020

Iftekhar Sahab Uddin

Lecturer
Southeast Business School
Southeast University
House: 64, Road: 18, Block: B, Banani, Dhaka-1213.

Subject: Submission of Report on Akij Group`.

Dear Sir,

This is to inform you that we have completed case study. The report is an accumulation of
learning about Akij Group`. The main purpose of this report is to learn about practical
applications of theoretical knowledge and relate. Our conceptual understanding of the courses of
Business Ethics is the medium to demonstrate our ability to apply it in a real world scenario.
All your instructions regarding the structure of preparing the report have been adhered to when
writing the structure of report and I’m willing to shed light on any discrepancies that may arise.

Thank you for giving us an opportunity to work with flexibility and independence I needed most
to enhance my insight in this project.

Sincerely,
Fazlul Karim Nishad .

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Acknowledgement
By the grace of Almighty Allah, the most benevolent merciful, we have been successfully to
complete this report on “akij group”. Then we are grateful to our adorable parents who had bring
us in this world and given the opportunity to study and our parents like course instructor Iftekhar
Sahab uddin who have given better direction to complete this report.

We do not claim that this report is original in presentation. We have collected materials from
different source.

We greatly acknowledge all suggestions received to enhance further the value of this project.
The suggestion has been incorporated whenever possible.

We are trying to give our best efforts not withstanding small errors do creep into the project. We
are ever great full to our followers for drawing our attention to such, so that they may be
squashed.

We are extremely grateful to our honorable teacher, Iftekhar Sahab uddin Lecturer in Business
Ethics, Southeast University, who constantly took keen interest in boosting our morale and
inspire of his busy schedule.

While every effort has been made to ensure accuracy, it cannot be claimed that the assignment is
absolutely error-free. In case of any confusion or doubt on any aspects of this report, we are may
be contracted in any time.

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 Table Of Content
Content Pages

Letter of Transmittal………………………………………………………………………………2
Acknowledgement……………………………………………………………………….………..3

Executive summary………………………………………………………………………………..5

Company`s Background…………………………………………………………………………...6
Mission…………………………………………………………………………………………….6
Vision……………………………………………………………………………………………...6
Goal………………………………………………………………………………………………..6
Objective…………………………………………………………………………………………..6
What Role leadership plays in corporate culture? ………………………………………….…7-10
Which type of leadership style is appropriate for Akij Group ? …………………………….…..11
What Is Corporate Culture?...........................................................................................................11
Different Dimensions of Corporate Culture……………………………………………………..12

Different Types of Terms In Context with Akij Group………………………………………….13

Different Types of Corporate Culture…………………………………………………….….14-15

Conclusion…………………………………………………………………………………….....16
Reference………………………………………………………………………………………...16

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Executive summary
Akij Group’s ceaseless efforts with dynamic management and support from our numerous clients
have led our Group in diversifying its business activities. Akij Group is also involved in socio-
cultural activities. The Group has been operating a sizeable orphanage free of charge in district
town.

We are visited AKIJ GROUP and we prepare our report on their Food & Beverage, Akij Jute
Mills, Akij CNG.

Before the summary I would like to thanks its Manager Susanto paul for provide necessary
information for prepare our group.

Akij Food and Beverage Ltd, a concern of Akij Group, yesterday launched in the local market
three varieties of fruit juice under the brand name ‘Frutika’.

Akij Group is one of the fastest business conglomerates in Bangladesh. Founded by Late Sheikh
Akijuddin, the group started in humble way through trading business in 1940.

The textile sector plays a very important role in many developed/developing countries. The
textile sector includes spinning, knit and woven sectors, which are called Primary Textile Sector(
PTS).

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Company`s Background:
Akij Group’s ceaseless efforts with dynamic management and support from our numerous clients
have led our Group in diversifying its business activities. In the second phase, the Group Int into
manufacturing handmade cigarettes popularly known as biris. This sector gave a real boost to the
revenue earning of the Group as Ill as making a substantial contribution to government
exchequer. With the passage of time, the Group undertook new ventures and presently there are
15 units of industries under its umbrella like cigarettes, handmade cigarettes, printing &
packaging, textiles, hand board, pharmaceutical, leather processing and real-estate business are
in operation, catering jobs for more than 32,000 people in various categories.
The Akij Group is one of the biggest conglomerates in Bangladesh. It consists of 14 big
companies with diverse activities and different products, and launched its venture as a small jute
trader more than 50 years ago. Since then it has been progressing with tremendous pace in the
industrial arena of Bangladesh. The industrial wastage means little to them because their
factories have been built up with recycling and the environment concept. A large number of
people are employed by the group and cared for as members of the Akij family. The non-profit
concerns are also involved in sustaining development of the country. Flexibility is the niche of
the group to cope with the current versatile market. approach who looks after the Akij Textile
Mills Ltd, one of the top ten textile mills of the country considering all aspects quality, modern
management, utility, full unit chilling system, use of vision shield, a foreign-fiber detector. From
its humble beginning, it has been developed into a huge corporation of infallible quality and
excellent service. It highly values its consumers as unique individuals and always ensures quality
merchandise to suit the needs of each distinct consumer group. It works hard to preserve the
environment and culture of Bangladesh, side by side, plays an outstanding role to develop the
country economically advanced.

Mission: “To grow and increase value by implementing  new products and services to provide
high quality products  to satisfy customers’ requirements.”

Vision:“To provide the high quality products for the customers.

Goal:“To achieve market leadership, profitability, good corporate citizenship and a
sustainable growth.”

Objective:“The main objective of the company is to increase the market share in related
diversified products in Bangladesh and to assure the potential customers of the quality and
durability of the products.”   

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What Role leadership plays in corporate culture?
Every employee impacts an organization's direction, but leadership has by far the largest and
most direct effect on company culture, which revolves around employee engagement,
environment, atmosphere and the success of the company and its clients. Leadership affects the
confidence of the staff and whether they see mistakes as opportunities for learning or failures
that damage the self-worth of the employee. Leadership cultivates the foundation of culture to
empower employees to achieve the company mission and realize how vital each of their
contributions is to furthering those goals.
Leaders Embody the Change They Want to See:
Leaders have a responsibility to demonstrate the beliefs of the company and reinforce behaviors
that reflect those values. "Be the change you want to see" serves as a powerful motto as a CEO.
You know you don't get a break now that you finally earned your role at the top. If anything, you
have to work harder and stay in the trenches to remain relevant, but you also need to diversify
your efforts and research to innovate for future success.
The Leader Drives a Thirst for Continuous Learning:

No matter if entry-level or senior-level, all employees have something to teach one another.
Leaders hold in-depth knowledge of how the engine of their company works, learning about each
employee as more than a cog in the machine. The leader expresses and demonstrates an interest
in employee growth.

Experiential learning boosts retention scores by 90 percent and embodying the concept that

mistakes provide opportunities for education and innovation inspires employees to develop
existing and new skills. The much-desired "fast-paced" culture derives from a thirst to learn and
explore, not keep up, which creates a natural atmosphere of collaboration and creativity aligned
with fun and performance.

The Leader Focuses on Social Good for Employees and Clients:

The drive to continuously learn comes in handy when you must resolve a vital issue for a client.
Sometimes, the best resolutions occur as happy surprises in the simplest of packages. The best
business strategies consider the needs of each client from various points of view and ensure your
employees are on board to follow the client journey.

Ultimately, the successful leader focuses on the social good of both employee and client. This
approach transforms a stagnant leader into an inspirational one who solves issues creatively
while measuring the larger impact of the company's services and products. Leaders place their
attention on the deeper needs and desires of humanity which drive what supply and demand truly
are in life and business. Technology connects people increasingly around the world which places
bigger social responsibilities on companies, and leaders recognize that fact.

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 Leaders Care About Employee Well-Being:

How does your company show it cares about all its employees? Dividing the professional from
the person no longer applies in modern work culture. While maintaining a professional persona
matters, an employee's well-being directly impacts how they perform and engage at work. Work
attendance increases. Customer ratings go up. Problems get solved more effectively and quickly,
and employees adapt more swiftly to change. Those five aspects of well-being include physical,
social, community, financial and purpose.

Different Style and type of leadership

1. Democratic Leadership

2. Autocratic Leadership

3. Laissez-Faire Leadership

4. Strategic Leadership

5. Transformational Leadership

6. Transactional Leadership

7. Coach-Style Leadership

8. Bureaucratic Leadership

Democratic Leadership : Democratic leadership is exactly what it sounds like -- the leader
makes decisions based on the input of each team member. Although he or she makes the final
call, each employee has an equal say on a project's direction.

Democratic leadership is one of the most effective leadership styles because it allows lower-level
employees to exercise authority they'll need to use wisely in future positions they might hold. It
also resembles how decisions can be made in company board meetings.

For example, in a company board meeting, a democratic leader might give the team a few
decision-related options. They could then open a discussion about each option. After a
discussion, this leader might take the board's thoughts and feedback into consideration, or they
might open this decision up to a vote.

Autocratic Leadership: Autocratic leadership is the inverse of democratic leadership. In this

leadership style, the leader makes decisions without taking input from anyone who reports to
them. Employees are neither considered nor consulted prior to a direction, and are expected to
adhere to the decision at a time and pace stipulated by the leader.

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An example of this could be when a manager changes the hours of work shifts for multiple
employees without consulting anyone -- especially the effected employees.

Frankly, this leadership style stinks. Most organizations today can't sustain such a hegemonic
culture without losing employees. It's best to keep leadership more open to the intellect and
perspective of the rest of the team.

Laissez-Faire Leadership: If you remember your high-school French, you'll accurately assume
that laissez-faire leadership is the least intrusive form of leadership. The French term "laissez
faire" literally translates to "let them do," and leaders who embrace it afford nearly all authority
to their employees.

In a young startup, for example, you might see a laissez-faire company founder who makes no
major office policies around work hours or deadlines. They might put full trust into their
employees while they focus on the overall workings of running the company.

Although laissez-faire leadership can empower employees by trusting them to work however
they'd like, it can limit their development and overlook critical company growth opportunities.
Therefore, it's important that this leadership style is kept in check.

Strategic Leadership: Strategic leaders sit at the intersection between a company's main
operations and its growth opportunities. He or she accepts the burden of executive interests while
ensuring that current working conditions remain stable for everyone else.

This is a desirable leadership style in many companies because strategic thinking supports
multiple types of employees at once. However, leaders who operate this way can set a dangerous
precedent with respect to how many people they can support at once, and what the best direction
for the company really is if everyone is getting their way at all times.

Transformational Leadership: Transformational leadership is always "transforming" and

improving upon the company's conventions. Employees might have a basic set of tasks and goals
that they complete every week or month, but the leader is constantly pushing them outside of
their comfort zone.

When starting a job with this type of leader, all employees might get a list of goals to reach, as
well as deadlines for reaching them. While the goals might seem simple at first, this manager
might pick up the pace of deadlines or give you more and more challenging goals as you grow
with the company.

This is a highly encouraged form of leadership among growth-minded companies because it

motivates employees to see what they're capable of. But transformational leaders can risk losing
sight of everyone's individual learning curves if direct reports don't receive the right coaching to
guide them through new responsibilities.

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Transactional Leadership: Transactional leaders are fairly common today. These managers
reward their employees for precisely the work they do. A marketing team that receives a
scheduled bonus for helping generate a certain number of leads by the end of the quarter is a
common example of transactional leadership.

When starting a job with a transactional boss, you might receive an incentive plan that motivates
you to quickly master your regular job duties. For example, if you work in marketing, you might
receive a bonus for sending 10 marketing emails. On the other hand, a transformational leader
might only offer you a bonus if your work results in a large amount of newsletter subscriptions.

Transactional leadership helps establish roles and responsibilities for each employee, but it can
also encourage bare-minimum work if employees know how much their effort is worth all the
time. This leadership style can use incentive programs to motivate employees, but they should be
consistent with the company's goals and used in addition to unscheduled gestures of
appreciation.

Coach-Style Leadership: Similarly to a sports team's coach, this leader focuses on identifying
and nurturing the individual strengths of each member on his or her team. They also focus on
strategies that will enable their team work better together. This style offers strong similarities to
strategic and democratic leadership, but puts more emphasis on the growth and success
of individual employees.

Rather than forcing all employees to focus on similar skills and goals, this leader might build a
team where each employee has an expertise or skillset in something different. In the longrun, this
leader focuses on creating strong teams that can communicate well and embrace each other's
unique skillsets in order to get work done.

A manager with this leadership style might help employees improve on their strengths by giving
them new tasks to try, offering them guidance, or meeting to discuss constructive feedback. They
might also encourage one or more team members to expand on their strengths by learning new
skills from other teammates.

Bureaucratic Leadership: Bureaucratic leaders go by the books. This style of leadership might
listen and consider the input of employees -- unlike autocratic leadership -- but the leader tends
to reject an employee's input if it conflicts with company policy or past practices.

You may run into a bureaucratic leader at a larger, older, or traditional company. At these
companies, when a colleague or employee proposes a strong strategy that seems new or non-
traditional, bureaucratic leaders may reject it. Their resistance might be because the company has
already been successful with current processes and trying something new could waste time or
resources if it doesn't work. 

Employees under this leadership style might not feel as controlled as they would under autocratic
leadership, but there is still a lack of freedom in how much people are able to do in their roles.
This can quickly shut down innovation, and is definitely not encouraged for companies who are
chasing ambitious goals and quick growth.

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Which type of leadership style is appropriate for Akij Group ?

Autocratic
The ultimate task-oriented leadership style, autocratic or “command and control” leaders operate
in an “I’m the boss” fashion. They provide clear expectations and directions to employees,
telling them what to do and when and how to do it. Autocratic leaders make decisions on their
own without input from the rest of the group.

Good for: urgent situations where results must be accomplished quickly; situations where the
leader has far more knowledge than the team; new employee training

Bad for: creative or knowledge-based jobs; often damages employee morale, initiative and
loyalty

Example: Steve Jobs is the rare example of an autocratic leader whose leadership style
encouraged creativity—although only within his particular parameters. 

By way of it’s strict adherence to Customer satisfaction, AKIJ GROUP is credited as a leading
foreign exchange earner of the Country in recognition of which it has been awarded “The
National Export Trophy” for consecutive years by the Bangladesh Government. 47,000
motivated and professional staff & officers in various categories at different units constitute it’s
work force who have their individual contributions towards the Group’s mammoth growth.
Today AKIJ GROUP has it’s share of almost 5% to the Govt. annual budget through Taxes, Vat
etc. It is also the 3rd highest VAT payer of the country since last several years. Apart from being
the topmost Entrepreneurs of the country, AKIJ GROUP has also demonstrated it’s firm social
commitment by setting up charitable Hospitals, Orphanages & Educational Institutions
throughout the Country.

What Is Corporate Culture?

Corporate culture refers to the beliefs and behaviors that determine how a company's employees
and management interact and handle outside business transactions. Often, corporate culture is
implied, not expressly defined, and develops organically over time from the cumulative traits of
the people the company hires. A company's culture will be reflected in its dress code, business
hours, office setup, employee benefits, turnover, hiring decisions, treatment of clients, client
satisfaction, and every other aspect of operations.

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Different Dimensions of Corporate Culture:
Dimension 1: Process oriented Vs. Results oriented

This dimension represents a preference towards processes or results. As the name implies, a
process oriented culture focuses more on technical and bureaucratic routines. In contrast, a result
oriented culture focuses more on achieving the desired results and outcomes in order to meet the
objectives of the company. Thus, in process oriented culture, people perceive themselves by
avoiding risks and making only a limited effort in their jobs, —each day is pretty much the same.
Results oriented people perceive themselves as comfortable in unfamiliar situations—each day
brings in new challenges (Hofstede, 1997).

Dimension 2: Employee oriented Vs. Job oriented

This dimension represents the preference of the culture towards employees or the job. Employees
in cultures that are people oriented feel that their personal problems are taken into account and
that the organization takes an obligation to take care of employees’ well-being. On the other side,
people in job oriented cultures experience a strong pressure to complete the job and perceive the
organization as only interested in the work (Hofstede, 1997).

Dimension 3: Parochial Vs. Professional

This dimension represents the way the members of an organization identify themselves.
Members in organizations with professional culture, tend to identify themselves primarily with
their professions. Members of parochial culture feel the organization’s norms cover their
behavior on the job as well as their home (Hofstede, 1997).

Dimension 4: Open system Vs. Closed system

In open systems, members consider both the organization and its people. They are opened to
newcomers and outsiders. In closed systems, the organization and its people feel closed, even
among insiders (Hofstede, 1997).

 Dimension 5: Loose control Vs. Tight control

This dimension represents the amount of internal structuring in the organization. Employees in
loose control units have more autonomy and different departments may operate without much
coordination between each other. People in tight control units describe their work environment as
closed. Supervisors know exactly what employees do, and management can coordinate all the
activities of different departments according to a central strategy (Hofstede, 1997).
Dimension 6: Normative Vs. Pragmatic
This dimension represents methods used by an organization in dealing with its environment and
customers. To normative cultures people, following organizational procedures are more
important rather than following the results. To pragmatic cultures people, following results and
meeting customer needs is more important (Hofstede, 1997).

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Different Types of Terms In Context with Akij Group:

Compliances Versus Value Based Culture

Compliance-based culture emphasizes obedience to the rules as the primary responsibility of
ethics. ... The argument for values-based culture is based on the fact that a compliance culture is
only strong and as precise as the rules with which workers are expected to comply.
values-based culture holds that an organizations' values are what support its' vision, shape
its' culture, and reflect what is important to the organization. In essence, they are the
organization's identity – the core principles and beliefs.

Differential Association

Differential association theory is a theory in criminology that aims to answer this question. This
theory was developed by Edwin H. Sutherland, who was a sociologist and a professor. He
created the theory to explain the reasons why people commit crime. The theory is based upon the
idea that criminals commit crimes based upon their association with other people.
Whistle blowing
A whistleblower is anyone who has and reports insider knowledge of illegal activities occurring
in an organization. Whistleblowers can be employees, suppliers, contractors, clients, or any
individual who becomes aware of illegal business activities. Whistleblowers are protected from
retaliation under various programs created by the Occupational Safety and Health Administration
(OSHA), Sarbanes Oxley Act, and the Securities and Exchange Commission (SEC). The
protection of federal employees is under the Whistleblower Protection Act of 1989.

Motivation

Motivation is a driving force which affects the choice of alternatives in the behavior of a person.
It improves, stimulates and induces employees leading to goal-oriented behavior.

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Different Types Of Corporate Culture
1. Team-first Corporate Culture: Team-oriented companies hire for culture fit first, skills and
experience second.
A company with a team-first corporate culture makes employees’ happiness its top priority.
Frequent team outings, opportunities to provide meaningful feedback, and flexibility to
accommodate employees’ family lives are common markers of a team-first culture. Netflix is a
great example – their recent decision to offer unlimited family leave gives employees the
autonomy to decide what’s right for them.
Team-oriented companies hire for culture fit first, skills and experience second. Why? Because
they know happy employees make for happier customers. It’s a great culture for any customer
service-focused company to embody, because employees are more likely to be satisfied with
their work and eager to show their gratitude by going the extra mile for customers.
2. Elite Corporate Culture: Companies with elite cultures are often out to change the world
by untested means.
An elite corporate culture hires only the best because it’s always pushing the envelope and
needs employees to not merely keep up, but lead the way (think Google). Innovative and
sometimes daring, companies with an elite culture hire confident, capable, competitive
candidates. The result? Fast growth and making big splashes in the market.
Companies with elite cultures are often out to change the world by untested means. Their
customers are often other businesses that need their products to remain relevant and capable in
a new environment—one often of the elite-cultured company’s creation.
3. Horizontal Corporate Culture: Horizontal corporate culture is common among startups
because it makes for a collaborative, everyone-pitch-in mindset. These typically younger
companies have a product or service they’re striving to provide, yet are more flexible and able
to change based on market research or customer feedback. Though a smaller team size might
limit their customer service capabilities, they do whatever they can to keep the customer happy
—their success depends on it.
Titles don’t mean much in horizontal cultures, where communication between the CEO and
office assistant typically happens through conversations across their desks to one another
rather than email or memos. This is the experimental phase, where risks are necessary and
every hire must count.
4. Conventional Corporate Culture: Companies where a tie and/or slacks are expected are,
most likely, of the conventional sort. In fact, any dress code at all is indicative of a more
traditional culture, as are a numbers-focused approach and risk-averse decision making. Your
local bank or car dealership likely embodies these traits. The customer, while crucial, is not
necessarily always right—the bottom line takes precedence.
But in recent years, these companies have seen a major shift in how they operate. That’s a
direct result of the digital age, which has brought about new forms of communication through
social media and software as a service (SaaS). Today, traditional companies still have clearly
defined hierarchies, yet many are grappling with the learning curve for communicating through

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new mediums that can blur those lines. Facing this challenge can be a big opportunity for
learning and growth, as long as it’s not resisted by management. While new office technology
is often low on management’s list of concerns, more traditional companies are starting to
experiment with it as more mill ennials enter higher-up positions.
5. Progressive Corporate Culture: Uncertainty is the definitive trait of a transitional culture,
because employees often don’t know what to expect next.
Mergers, acquisitions or sudden changes in the market can all contribute to a progressive
culture. Uncertainty is the definitive trait of a progressive culture, because employees often
don’t know what to expect next (see almost every newspaper or magazine ever). “Customers”
are often separate from the company’s audience, because these companies usually have
investors or advertisers to answer to.
But it’s not all doom and gloom. A major transition can also be a great chance to get clear on
the company’s shifted goals or mission and answer employees’ most pressing questions.
Managing expectations and addressing rumors that pop up through constant communication are
the best things a company can do to prevent employees from fleeing or cowering. Change can
be scary, but it can also be good, and smart employees know this. They embrace change and
see it as an opportunity to make improvements and try out new ideas. And hopefully, they rally
their colleagues to get on board.

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Conclusion :
The company AKIJ FOOD & BEVERAGE LTD (AFBL) lately came in the business, and has
already achieved a flourishing state with some of its brands. We are highly obliged for being a
part of this venture, and understanding their business policies, operational structure, strategy
formulation and implementations. The comprehension gained from the marketing activities of
AFBL enhanced our knowledge portfolio to a greater extent. The Brand department of AFBL
contributes intensive effort regarding the brand building of the products. The reflection of the
efforts could be seen from the strategic marketing/communicational theme and USPs of brands
like MOJO, SPEED, FRUTIKA, CLEMON etc. The pace at which AFBL is currently
accelerating, will undoubtedly lead the company to the peak of success where majority of the
market shares will be withhold by the brands of AFBL. I will be concluding my research report
by stating that, being able to work with a company which is in the growth stage of the
organizational life cycle (OLC), enabled us to captivated a bundle of practical knowledge which
will turn out to be a great support for our future strategy formulations and implementations
achievements.

Reference
https://www.forbes.com/sites/williamcraig/2018/09/05/the-role-leadership-has-in-company-
culture/#4fbf580716b6
https://blog.hubspot.com/marketing/leadership-styles
https://www.ukessays.com/essays/marketing/a-report-on-the-akij-group-marketing-essay.php
https://www.americanexpress.com/en-us/business/trends-and-insights/articles/whats-your-most-
effective-leadership-style/
https://www.investopedia.com/terms/c/corporate-culture.asp
https://www.researchgate.net/publication/316003646_The_Organizational_Culture_Dimensions_
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_The_Case_of_an_Independent_Private_University_in_Macedonia/link/58ed4885458515c4aa50
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https://www2.deloitte.com/content/dam/Deloitte/in/Documents/risk/Board%20of
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