ARMY INSTITUTE OF BUSINESS ADMINISTRATION

Savar Cantonment, Savar, Dhaka.

Term Paper on:

ACI Pharmaceutical
Course Title: Corporate Finance
Course Code: CF 3501
Submitted By: Supervisor:

Name ID Murshida Rahman

MD. Mustafizur Rahman B5180B060 Lecturer,

MD. Fateen Mahdi B5180B059 Army Institute of Business Administration,

Nuhash Sakib B5180B055 Savar Cantonment, Dhaka.

Ahaduz Zaman B5180B071
Batch: BBA 5(B)

Date of Submission: 10 May, 2020

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 ARMY INSTITUTE OF BUSINESS ADMINISTRATION
Savar Cantonment, Savar, Dhaka.

Term Paper on:

HR practices in ACI Pharmaceutical
Course Title: Human Resource Management
Course Code: HRM 3501
Submitted By: Supervis

Name ID Murshida Ra

MD. Mustafizur Rahman B5180B060

MD. Fateen Mahdi B5180B059 Army Institute of Business Administr

Nuhash Sakib B5180B055 Savar Cantonment, D

Ahaduz Zaman B5180B071
Batch: BBA 5(B)

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Letter of Transmittal
May 10, 2020.
Murshida Rahman Mithila
Lecturer
Army Institute of Business Administration
Subject: Submission of ACI Pharmaceutical human resource and management
Dear Madam,
We take the pleasure to submit our report about ACI Pharmaceutical human resource and
management. The report gave us the opportunity to understand how to conduct an
intercultural communication of an organization in an effective way.
I have put my best effort to make this report a successful one. It has been joyful and
enlightening experience for me to prepare this report. However, this has been obviously a
great source of learning for me to help me conduct similar types of studies in the future.
I would to express my sincere gratuity to you for your kind guidance and suggestions in
preparing the report. It would be my immense pleasure if you find this report useful and
informative to have an apparent perspective on the issue. I shall be happy to provide any
further explanation regarding this report if required and please inform me if you have any
query on this report or any other relevant matters.

Yours sincerely,
1.MD. Mustafizur Rahman
ID: B5180B060
2.MD. FateenMahadi
ID: B5180B059
3.Nuhas Sakib
ID: B5180B055
4.MD: Ahaduz zaman
ID: B5180B071

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 Acknowledgements
We would first like to thank Almighty Allah for giving us this opportunity to work and
complete this term paper since preparing this paper has been a great challenge for all of us.
We are very grateful to our honourable faculty Lecturer Murshida Rahman Mithila for her
generous cooperation and constant guidance that made us confident about the desired
outcome of our term paper on “ACI Pharmaceutical human resource and management
We would also like to thank our respondents from ACI Pharmaceutical Group Limited, who
took out some time from their busy schedule to help us collect information. It was a very
interesting experience for us, and we tried our best to cover all the necessary parts of the
report assigned.
Finally, we would like to thank each other for the tremendous cooperation we have shared
among ourselves as group members. Our dedication and strong teamwork have resulted in
the successful completion of this term paper.

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 EXECUTIVE SUMMARY
Human resource Management is very crucial for the success of any company, because the
success of any organization depends on its Human Resource department. It is the heart of
any organization. So in this competitive business world, the Human Resource department of
any organization has to be well structured and strong formulated.
In this report, I want to find out a well-structured HRM process, which is very important for
any organization in this changing business world. For this, I want to compare the HR process
of ACI Ltd. with one multinational co. like Novartis (Bangladesh) Ltd. and one indigenous co.
name as Square.
By interviewing, I want to know about the recruitment and selection process, training
method, performance appraisal and employee benefit of the concerned three renowned
companies. From which a standard HRM process brings out and give specific guidelines of
operations of HRD with a vision to ensure quality policy and maintain the expected
standards of operations of any organization.
The co. provides benefit such as gratuity, provident fund, medical facility, festival bonus,
loan facility, annual leave, etc. These facilities more or less are same in the concerned three
organizations, but their procedure is different.

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 Table of Content

Chapter Topic Page number

Introductory Part Letter of Transmittal 4

Acknowledgements 5

Executive Summary 6

Chapter-1 1.1 Background of the study 8

1.2 Scope of the Report 8

1.3 Objective of the study 8

1.4 Limitations of the study 9

1.5 Methodology 9

Chapter-2 2.1 Human resources planning 10

2.2Effective Business Performance 11

Chapter-3 3.1 Organization 12

3.2. MISSION 12

3.3. VISION 12

3.4. STRATEGY 13

3.5. VALUES 13

3.6 MAJOR DEPARTMENTS 13

Chapter-4 4.1 Human Resource Planning 15

4.2 Staffing 15

4.3 Incentive Practices 16

4.4 Performance Appraisal 16

4.5 Training Program 17

Chapter-5 5.1 Recommendations 18

5.2Conclusion 18

References 19

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 CHAPTER:1: INTRODUCTION
1.01 Background of the study:
The purpose of this report is to get an exposure to the real-world situation of Human
Resource Management. This study will give me an opportunity to gather experience how the
Human Resource Management process is actually operated in an organization. In order to
achieve this objective, I have chosen ACI Limited to conduct my study. ACI Limited is a very
popular company in the private sector and it has a number of strategic business units such
as Pharmaceuticals, Consumer Brands, Agribusinesses: Crop Care and Public Health, Animal
health and subsidiaries-ACI Trading Limited, ACI Formulations Limited, Apex Leather Crafts
Limited, and ACI Salt Limited. But I am not going to cover the entire Human Resource
Management of ACI Limited. I will focus my study on the comparison of Human Resource
Management of ACI Limited with the Human Resource Department of one national and
multinational company like Square Group and Novartis (Bangladesh) Ltd.

1.02 Scope of the Report:

The scope of the report may be stated as under:
 The report covers the Human Resource Department of ACI Limited. But it doesn’t
cover the whole HRD. It only covers the recruitment, selection, performance
appraisal and employee benefit.
 The report compares the HRD of ACI Limited with the HRD of Square and Novartis.
 So it also covers the HRD of Square and Novartis.
 The report finds out the strengths and weaknesses of HRD of the companies.
 And it is also recommended to overcome the weakness of the c

1.03 Objective of the study :

The primary objective of this report is to fulfil a part of my BBA Program. The secondary
objective of my work is to gain practical knowledge about Human Resource Management
process in an organization. However I am working on Customer Relationship of ACI Limited
but I will bring out strengths and weaknesses of the HRM process of ACI Limited to achieve
organizational goals based on collected data, professional’s words and my academic
knowledge. For this reason, I want to compare the process of Human Resource
Management of ACI Ltd with one national and one multinational company, which will help
me to find out a good Human Resource Management process for any organization of
Bangladesh.

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1.4 Limitations of the study:
Some of the limitations are faced while preparing this report is mentioned here:
 Relevant papers and documents were not available sufficiently.
 It was little difficult to get the actual information. In many cases the questionnaire
had to be explained elaborately to the respondent. Much concerned was raised by
the respondents such as why the study is being undertaken, what would you reveal,
are there any risk involved in answering these questions etc.
 As the officers were very busy with their daily work, they could provide very little
time.
 This report will not cover the whole Human Resource Department of ACI Limited. It
will only cover the recruitment, selection, employee performance and benefit of ACI
Limited.

1.5 Methodology:
The report is based on primary and secondary information. To collect this primary
information, I have prepared a questionnaire, which will help in face-to-face interview. The
head of Human Resource Department of selected organizations have been interviewed to
collect primary information and secondary information have been collected from the Web
site of ACI Ltd. Square and Novartis and annual report of the concerned three companies.
After collecting this information, I have prepared the report, which gives the detail
information of HRM (i.e. the process of recruitment, selection, employee performance and
benefit.) for an organization.

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 CHAPTER2: LITERATURE REVIEW
Achieving compelling hierarchical objectives may be unique in some associations. The
reviews focus on the overall planning of human resources for profitable economic
performance. In general, it should help to achieve the authorized objectives, elements and
purposes of human resources that should be strategic. In addition, human resource planning
strategies need to be coordinated with the larger hierarchical system in terms of increasing
imperative performance. The planning of human resources influencing authorized
performance was a source of great curiosity. Agreements, speeches and definitions will be
divided into two sections. These sections are sharing below:

2.1 Human resources planning.

2.2 Effective Business Performance.

Bandt and Haynes presented 5 main challenges affecting human resource experts to develop
the overall thinking of the population and probably the reasons why many organizations are
having problems achieving their goals and keeping their employees happy. The difficulties
that arise are; (1) adapting HR practices to the organization's business strategies, (2) business
associations between supervisors and staff to meet the needs of the association in general, (3)
facilitating authoritarian change and learn everything through association, (4) understand and
use the most advanced innovation to develop the productivity and vitality of the association,
and (5) develop strategies and understand the different conditions in which they work and
situate their association for upcoming events.

The purpose of this project study is to visualize the literature review of the human resources
planning to clarify the implications, impulsiveness and relationships identified with the
human resources Management.

2.1 Human Resource Planning

According to Bhattacharyya (2019), Human resources planning is the ongoing process of
systematic planning to optimize the use of the most valuable resources of an organization,
human resources. The goal of HRP is to ensure the best match between employees and jobs,
avoiding employee shortages or surpluses. The HRP process has four main phases:

a. Predict recruitment needs

b. Evaluate the supply,
c. Balance between supply and demand.

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2.2 Effective Business Performance.

According to Katherine Mehr (2009), Effective Business Performance describes how

efficiently an organization can achieve their objectives year to year. The products and
services of an organization are the key indicator of calculating market performance of that
business. All the segments such as Marketing department, Human Resource department,
Finance and Accounting Department all are involved to increase the business performance in
the marketplace.

Business Performance measurement is an ongoing procedure to enhance performance by

dividing specific and collective objectives that align with the strategic objectives of the
organization, planning performance to attain objectives, revising and evaluating progress and
developing performance based on the abilities, knowledge, and skills of the workforce.

Particularly, Human Resource Planning plays avital role in every organization. Realizing the
business really comes from the general population, efficiency and performance. For
associations to remain focused, they need to improve their performance by reducing costs,
improving procedures, and increasing profitability. In addition, in doing so, having human
resource measures will help you find the results that are essential to the approved
methodology.

According to Leo Flanagan, President of Flanagan Consultants, LLC, Human Resource

Decisions Have a Critical Impact on Authoritarian Performance. He said that the basic human
resource leadership is to discover ways to allocate resources to his family in order to continue
the most extreme development of his association and know where to spend his money to
stimulate the business for individual and individual tests. In doing so, human resource
measures are the provision.

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 CHAPTER 3: COMPANY OVERVIEW
3.1 Organization:
ACI is the first company in Bangladesh to obtain certification of ISO 9001 Quality
Management System in 1995. ACI is also the first Company in Bangladesh to get certification
of ISO 14001. Environmental Management System in 2000. ACI employees are proud of
their work culture, business ethics and environmental consciousness. ACI values are
embodied in its vision and mission statements. ACI quality and environmental concerns are
clearly stated through declared policies. ACI has three separate manufacturing plants in the
outskirts of Dhaka. The Pharmaceuticals plant is located at Narayanganj; ACI Formulations
has been setup at Gazipur and the Tetley factory has been built at Konabari. ACI Limited is
the first company in Bangladesh to have attained the ISO 9001 certification for Quality
Management System and ISO 14001 for Environmental Management System. The Trading
subsidiary has also received ISO 9002 certificate

3.2. MISSION
ACI’s mission is to enrich the quality of life of people through responsible application of
knowledge, skills and technology. ACI is committed to the pursuit of excellence through
WorldClass products, innovative processes and empowered employees to provide the
highest level of satisfaction to its customers.

3.3. VISION
To realize the Mission, ACI will:
1.Provide products and services of high and consistent quality, ensuring value for money to
our customers.
2.Endeavour to attain a position of leadership in each category of our businesses.
3.Develop our employees by encouraging empowerment and rewarding innovation.
4.Promote an environment for learning and personal growth.
5.Atain a high level of productivity in all our operations through effective utilisation of
resources and adoption of appropriate technology.
6.Promote inclusive growth by encouraging and assisting our distributors and suppliers in
improving efficiency.
7.Ensure superior return on investment through judicious use of resources and efficient
operations, utilizing our core competencies.

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3.4. STRATEGY
To build long-term partnership with the customers and with their support, we aim to
maximize the potential of our business through a combination of enhanced quality of
product, service, creative marketing, competitive pricing and cost efficiency

3.5. VALUES
Quality
1.Customer Focus
2.Innovation
3.Fairness
4.Transparency
5.Continuous Improvement

3.6 MAJOR DEPARTMENTS

Like every other corporation ACI has different departments for carrying out several
activities. The major departments of ACI are

HUMAN RESOURCE DEPARTMENT:

The Human Resource Department is responsible for the management of the employee in
order to achieve organizational goals and coordinates with other departments for the
effective utilization of resources. This department works for recruiting, training and
evaluating employees who collects raw materials from the specific vendors at suitable
quantity. In addition to that this department also purchases required machineries and
stationery products for the organization. This department received the bills from the third
party and sends them to Finance and Treasury.

FINANCIAL DEPARTMENT
ACI has accomplished a brand image of financially sustainable in both money and capital
markets of Bangladesh. Some of the prominent features of being financial sustainable are as
follows:
1. This prepares both short- and long-term financial plans following bottom up approach.
This has given two edges-management and effective implementation.
2. All directors of the Board are actively involved in financial plans and financing both capital
structures and working capital at least cost for value generation of the stakeholders.
3. All in the ACI are well informed about financial plans and programs well ahead of
implementation. This has increased the degree of employee participation;
4. The financial and operating risk is very low;

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MARKETING DEPARTMENT:
ACI opened the marketing department. ACI has been developing very rapidly in terms of
market share and sales growth. After one year of launching marketing department, sales
growth was 34% which was incredible

SALES DEPARTMENT:
This department plays a vital role for the company. The employees of sales department are
called Medical Representative. They visit doctors for the promotion of the company`s new
or existing product so that doctor can prescribe the medicine for the patients. They also visit
the pharmacy to supply the product of the company.

RESEARCH & DEVELOPMENT:

ACI‟s research and development department play an integral role. They find out whether
the existing products need any change and upgrades according to the requirements. New
product research and development, quality check etc. are the main activities of this
department

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 CHAPTER :4
HUMAN RESOURCE MANAGEMENT PRACTICE

4.1 Human Resource Planning

The respondents, both male and female neither agreed nor disagreed with the statement that
ACI forecasts personnel requirements on timely basis through job Analysis. A good job
analysis provides great advantages to the HR. But lack of job analysis and forecasting of
personnel requirements the HR department of ACI may not understand the uncertainty of
future need of workforce. Both male and female employees and managers of ACI, were
showed neutral reaction in their opinion that can display the information that ACI Limited
spent less money on selecting staff. Survey shows that HR of ACI Limited is not seriously
following the forecasting of personnel requirements and spending on employee recruitment
and selection process but all of the respondents of ACI limited strongly agreed that the uses
structured and standardized interviews to all the applicants. All the applicants are highly
measured by HR department to check their abilities and skills with the job requirement.

4.2 Staffing
Staffing is a method for hiring and selecting a staff. Recruitment is a process to find potential
candidates and to fill the vacancies of the organization. The selection process consists of
selecting the best applicants.ACI recruited new staff from internal and external sources.
Internal sources include: online resume bank, Job listing, succession plans, appointments and
so on. External sources include the ACI limited website, special journals, voluntary candidate
documents, references and employee networks. But external sources, in most cases, affect
their recruitment process.The selection process of companies is followed, such as collection
of applications, selection of suitable candidates, written exams, interviews, assessments,
salary grants, a position. ACI has collected an equal amount of syllabus and has sent it to the
concerned department after accepting and denying it. In ACI, the written test is relevant and
compulsory for the evaluation of the positions of the lower level administrative positions and
non-management agreements. Agency staff follows three types of interviews for the
selection: a group interview, a planned interview and a behavioural or situational interview.
The maintenance process varies by type of position. The development of the human resources
of the company divides this maintenance process into three parts, such as junior and senior
management positions, medium management and senior management. If the interview is
satisfactory, the candidate is proposed for a position. For the selection of employees, the
development of the company's human resources means the general qualifications of general

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intelligence, talent, personality, performance, etc. Some evaluation, important for verbal and
written communication skills, organization, planning, leadership, decision making and
adaptability are important.The human resources department of the organization organizes the
salary of the eligible candidate at a suitable time. In order to select the employee, the
company interview score is selected by candidates who achieve the most points, following
the score form.

4.3 Incentive Practices

Compensation is an imperative issue for any business. For a business association, it is
essential to make alluring compensation for its employees. Compensation programs must be
exceptionally alluring to keep up the association's an incentive to keep up the picture.

ACI Limited pursues a compensation program that causes them keep their employees full-
time and easy-going. Despite the fact that they are rivalling their employees in a focused
track, they are attempting to give them some more salary and wages for aggressive
companies in the market.

ACI Limited initially assesses the position, at that point examine similar places of different
offices and decide the salary level for these positions. Accordingly, ACI Limited chooses the
amount to be resolved or paid in the audit position. For this situation, ACI Limited
endeavours to be extremely legitimate about the dimension of pay. They endeavour to set the
salary level with the goal that it is viable and successful for them and for the employees.

4.4 Performance Appraisal

ACI Limited evaluates the performance of employees through two strategies in the general
performance evaluation methodology of the Human Resources Department, an MBO and a
360 degree evaluation. With the help of the MBO's point of view, the HR Department
noticeably describes the goals that must be achieved through the use of an employee and the
increase of the objectives that must be achieved. In the ACI limited evaluation process, the
movement plan focuses on positive goals, which require special attention and some exclusive
responsibilities that can be enumerated. In a larger job description, it is possible to detect two
types of movements in a given factor of the period. The first is quantitative and the second
quantitative quantity can be constant and the list of objectives can be a quantitative measure.
Likewise, any work can be analysed to determine the quantitative results that will be
distributed to complete the activity. The second category of actions cannot be measured in
numbers or the quality of nature cannot be measured.

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Balance Scorecard describes the process of determining the overall performance of staff. ACI
Limited Scorecard is a strategic implementation for the achievement of corporate areas.

The result of the quantitative work carried out can be measured in the idea. The trial will be
required to determine the amount of work admissible. In each type of review of the
consultation plan, three classes are specifically classified: W = Well done, S = Satisfactory
and U = Not satisfied.

4.5 Training Program

ACI's training exercises centre on changing human resources to accomplish business
perfection by expanding the transmission capacity of the ACI workforce. To conquer present
and future difficulties, we recognize the arrangements of learning and abilities that are key
factors and structure an assortment of projects to make this progress, utilizing imagination,
readiness, adaptability, decent variety of aptitudes and decent variety. Information technology
is turning into a propensity. We break down the outer condition to evaluate industry
rehearses, think about accepted procedures and execute talent management projects to give
excellent administrations to our esteemed clients. Enormous and unconstrained endeavours
are made with the key objective of accomplishing brilliance in giving customized
administrations to meet the changing needs of human assets improvement. We build up a
vital learning guide that incorporates altered learning systems for every one of the division's
worker gatherings, in view of a common vision, to wind up a glad individual from a learning
association. We receive the best interior and outside modules dependent on technology,
approaches, structures, resources/mentors to ensure the best degree of profitability in human
advancement. ACI values are incorporated into the structure, advancement and conveyance
procedures of each training administration action all through the association.

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 CHAPTER5: CONCLUSION
5.1 RECOMMENDATION
The company should concentrate on the collection of receivables as well as selling the
inventories.
• The company should focus on the operating expenses.
• Liquate and long-term solvency is satisfactory and the company should try to keep more
liquate assets.
• Low rate of gross profit is due to the increase in the operation expense. The company
should give more focus on general financial strength. Return on capital employed ratio is
satisfactory.
• Efficiency ratio shows a mixes trend so the company should take the necessary steps to
meet the higher ratio.
• Company should focus on the collecting the accounts receivables for reducing the
uncertainty of bad debt collection.

5.2 CONCLUSION
To conclude, it can be said that it was a lifetime experience for me to work in The ACI
Laboratories Ltd. and gather knowledge from here. I have learned so many things practically
throughout the research. I believe all these experiences will help me in building a good
career in future. All the reputation this company got from a comparatively short lifespan is
all because of the discipline, hard work and strategies of the excellent authority they have.
In this report, although there were some limitations of obtaining exact internal information
but those are carefully taken under consideration so that they do not hamper the results of
the research. Last but not the least, it can be said that the ultimate success comes by having
great devotion, pledge and dynamic leadership of the management committee and The ACI
Laboratories Ltd. will surely walk a long way in the future.

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References:
1.www.aci-bd.com/pharmaceuticals'.com
2.www.assignmentpoint.com/business/aci-limited-corporateinformation.html
3.https://en.wikipedia.org/wiki/Pharmaceutical_industry_in_Bang lad
4.http://www.thedailystar.net/business/pharma-sector-grow15pc-year-study-1429024 V

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