BANGLADESH UNIVERSITY OF PROFESSIONALS

Term Paper
on
“Akij Group and their Leadership Culture”
Course: Business Leadership (BUS7303)

Submitted to
Lt Gen Sheikh Mamun Khaled,
PhD Faculty of Business Studies
Bangladesh University of Professionals (BUP)

Submitted by
Khatune Jannat Laya
ID# 2023033016
Batch-25, Section: B
Program: MBA (Professional)
 LETTER OF TRANSMITTAL

2 August, 2021

Lt Gen Sheikh Mamun Khaled, PhD

Faculty of Business Studies
Bangladesh University of Professionals (BUP)

Subject: Submission of the Term paper

Dear Sir,
I would like to submit my term paper on “Akij Group and their leadership culture” which have
been prepared as requirement for completing the course. I have tried to follow each guideline that
you have advised while working on the term paper. It has been a very instructive experience to
work on this topic and I have tried to make it as informative as possible.

Sincerely,

Khatune Jannat Laya

ID# 2023033016
Batch-25, Section: B
Program: MBA (Professional)
 Acknowledgement

At first, I would like to express my gratitude to the Almighty for giving me the strength and
opportunity to complete the term paper within the scheduled time successfully.

I would like to thank our honorable course teacher Lt Gen Sheikh Mamun Khaled, PhD whose
inspiration, guidance, instructions have helped us tremendously in creating this term paper.

Besides, I have taken help from Internet and different articles. I would like to thank all those
authors and also thank who helped me with their valuable opinion. I am thankful that they gave
their precious time to me.

Finally, I would like to express my gratitude to my family and friends for their tremendous support
throughout the task. Without the help of the above, this process would not be so easy to complete
for me.

Page | 3
Introduction of the Term Paper
Akij Group has most important assets as they can make or break the fortunes of a business. In
today’s highly competitive business environment, Akij group which is one of the most leading
conglomerate companies in Bangladesh. Akij Group provide their best service by following some
techniques and steps. In leadership culture, they follow some techniques that are business strategy
leadership culture including strategy formulation, goal formulation, feedback, concept etc.,
marketing strategies, corporate social responsibilities. By following these, now Akij Group is one of
the most leading companies in Bangladesh.

Origin of Paper
The main purpose of the study is to fulfill the requirements of Business Leadership as the part of
our MBA Professionals program bearing 3 credits. As the students of Business Leadership, I was
assigned by our course instructor Lt Gen Sheikh Mamun Khaled, PhD to involve in this study. I
hope, this course as well as this paper helps a student to get necessary knowledge which is very
useful for the students in Business Leadership.

Objectives of the Term Paper

Broad Objective
The main objective of the report is how the company operates their corporate activities, how to
maintain their leadership culture and how these plans are executed efficiently.
Specific Objectives
• To identify how the real business enterprises adapt the tactics to their business leadership
process.
• To identify the nature of the organization.
• To study the leadership process of Akij group.
• To understand their leadership culture.

Significance of the Term Paper

This term paper is an important partial requirement for completing our course. Because as a student
of business, we should know better about various business policy of Akij Group and their activities.
I have discussed about their leadership policy system of Akij Group. It is important to know what
kind of Business Leadership activities of Akij Group are given. This term paper will have a detailed
explanation about their activities and impacts through which people will benefit a lot.
Also, this term paper can help to hold a lot of important information which can be more beneficial
Page | 4
for practical life.

Methodology
The research behind this report is basically exploratory in nature. I have prepared this term paper
with the help of secondary date. There was no involvement of primary data.
Secondary data
• Company website.
• Online Articles.
• Newspaper articles.

Limitations of the Term Paper

I have faced the following problems when I was preparing the term paper which may be termed as
the limitation of the study:
• The accuracy of the information may not have been completely perfect. Since all the information
is taken from secondary sources, there is a difference of information on different sites.
• The main constrain of the study was the insufficiency of information. Sufficient information
would have enriched the quality of the paper.
• Due to a lack of my experience, there is a chance of having some mistakes in this paper.

Page | 5
Background of Akij Group
The legacy of AKIJ GROUP is over half a century old and over the years Akij has established itself
as the full of confidence and much revered industrial family of Bangladesh.
• Akij Group is one of the biggest conglomerates in Bangladesh.
• It consists of 24 big concerns with diverse activities & different products.
• Akij Group 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 area of Bangladesh.
• 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 & for
social welfare.

Mission and Vision of Akij Group

In this era of mass production, as it is very hard to stand out with one product, Aki Group focuses
on making the best in all sectors. Any company’s vision is actually the dream to which the company
always strives to reach where it may become possible or not. Akij Group is not something different.
Expanding the business in the abroad and becoming one of the market leaders internationally are
the visions of Akij Group.
The mission of Akij Group is to be the market leader through their best effort, suitable and
competitive marketing strategy and the consumer’s support. Now they are in the position of
challenger and their vision focuses on those missions, goals and objectives which will make them
able to be the leader from the challenger to the leader in the market

Strategic Business Units

The Group now has multiple major concerns. These concerns are-
• Akij Food
• Akij Plastic
• Akij Cement
• Akij Jute
• Akij Textile
• Akij Shipping
• Akij Particle Board
• Akij Printing and packaging
• Akij Steel Mills

Page | 6
Business Strategic Leadership Planning
Business Strategic planning is an ongoing process that is constantly changing to find a competitive
advantage and the main driving system of a company. Through strategic planning, the company
deciding what it wants to do with each business unit. Strategic Planning involves deciding on
marketing strategies that will help the company attain its overall strategic objectives. A detailed
marketing plan is needed for each business, product, or brand. A company can go forward and
increase market growth rate through an effective business strategic planning.

SWOT Analysis
This is top qualitative evaluation of the key factors’ affection the company. To know how will the
company fairs and how interesting an investment would be, our analysis follows the market on a
daily basis and you could benefit from their valuable expertise to maximize your knowledge.
Strengths:
❖ Has huge amount of capital at their disposal.
❖ Strong management.
❖ Qualified employees.
❖ Practical, Knowledgeable and skilled workers.
❖ Acceptable and popular products in our countries than other company’s product.
❖ Huge amount of fixed assets.
Weaknesses:
❖ Tax complications.
❖ Lawsuits against them regarding land ownerships.
Opportunity:
❖ International and national market segment opportunities.
❖ Has expansion opportunities.
❖ Has growth opportunities
Threats:
❖ Business competitors.
❖ Bad Weather.
❖ Price increase of raw materials etc.

Goal formulation
By SWOT analysis, the company improved the specific goals of the planning period that is called
goal formulation. Managers use the term goals to describe objectives that are specific with respect
magnitude and times.

Page | 7
 ❖ Arranged Hierarchically: Akij group business units increased the rate of return on
investment. By increasing revenue and reducing expenses, this can be accomplished
❖ Quantities objectives: Akij group want to return on investment 15% last 2 year.
❖ Goals should be realistic: They fixed their goal on the business unit’s opportunities
strength not wishful thinking.
❖ Objectives must be consistent: It is not possible to maximize both sales and profits
simultaneously.

Strategic Formulation
Every company must have a strategic plan for achieving organization goal such as Akij have an
own strategic formulation. This corporation follows “overall cost leadership”. Overall cost
leadership, means reducing the cost of a product than other company. So, the Akij group follow the
overall cost leadership strategic because they reduce the product cost.

Program formulation
The corporation’s business unit has been developing its principal strategic. It must work out in
detailed supporting program. If the program is continuing by the technological leadership, then the
company create values for the customer. Akij follows strategic program of continuous technological
leadership to create values for the customer.

Feedback and Control

Every action has a result. So Akij group has also result on their task. Akij group business planning
is effective to earn the organizational goal. So, the company’s feedback and the controlling system
of the group are good. Akij group formulates its business planning based on effective feedback and
control mechanism.

Concept
Akij Group follow their own marketing concept. Besides, they also follow the societal concept in
their product.

Marketing Strategies
Akij Group has a major marketing decision that can be classified in the following four categories:
❖ Product

Page | 8
 ❖ Price
❖ Place (Distribution)
❖ Promotion

These variables are known as the marketing mix or the four P’s of marketing. The variables that
marketing managers can control in order to best satisfy customers in the target market. Akij Group
attempts to generate a positive response in the target market by blending these four marketing mix
variables in an optimal manner. Beside the group has a unique sales promotion program that helps
much in the marketing strategies. They run the following sales promotion strategies-
❖ Sales Promotion-
• Gift card
• Discounted prices
• Free service campaign
• CRM (Custom relationship management)
• Occasional packages
❖ Advertising
❖ Direct Mail
❖ Personal Selling

Human Resources Planning

In leadership Human resource planning is designed identifying an organization’s human resource
needs successfully. The people of Akij Groups are their most important asset. In Human Resources
sector, their culture is about empowering their employee.
They contribute in their business to focus on objectives and to achieve their own personal and
career goals. They also keep an eye on the future, with their 'leadership behavior’s initiative aiming
to identify the next generation of leaders. Overall Human Resource’s function is devising and
implementing the strategies and policies to ensure that they have the right people with the right
skills. Within that, there are numerous options for employees. The options are included in covering
culture change, leadership development, strategic management, coaching and skills development or
alignment of reward with performance.
For planning for human resources, following factors are to be taken into consideration.
❖ To strong interpersonal and leadership skills.
❖ To see the ability of big picture while delivering on day-to-day goals.
❖ How people drive business in a real interest.
❖ To take tough decisions of the strength and integrity.

Page | 9
 ❖ An interest in coaching and developing people.
❖ Strategic Awareness.

Role Model of Ethical Business

Akij Group is a leading business house is just half of the truth and the less important one at that.
What is even more significant and needs to be specially noted is that it is the role model of ethical
business. Without resorting to tax evasion, money laundering or any sort of unfair means, Akij
Group is doing business in a completely honest manner. Akij Group is one of the highest investors
at the private level. It has to its credit the distinction of being one of the topmost taxpayers of the
country.
Akij Group is the brainchild of SK. AKIJ UDDIN. That is one of the most efficient, innovative and
visionary entrepreneurs of Bangladesh. Whatever he put his hands on turned into solid gold. There
is hardly any instance where Akij Group has not achieved unparallel successes. The true to its motto
of being For the People, For the Country that the Akij Group takes up one business project after
another, clearly with an eye on the country’s need for industrialization and employment generation.
Making a profit is an essential element of every business initiative but by no means, it is the sole
purpose of Akij Group and this corporate house is doing business as part of its obligation to the
people and the country.

Lesson learnt from Akij Group’s Leadership Skills

❖ Nothing can beat hard work.
❖ Need to remain focus.
❖ Must grow and mature to face the real world.
❖ To start doing necessary things.
❖ Always work to eliminate unnecessary and redundant practice.
❖ Always be focus on to achieve the desire goal.
❖ To Meet people where they are and be approachable.
❖ Be organized and honest in profession.

Page | 10
Recommendation
There is no doubt that Akij Group is one of the most reputed and leading corporation in our country.
The situation of leadership culture is good in present, but it has some problems in this process. If the
corporation can remove those problems, then the corporation will be role model in the business
sector of Bangladesh. Akij Group has some problems in legal aspect like involvement in tobacco
business. If the corporation can reduce their legal problems, they could create more popularity than
previous.

Conclusion
Akij Group is undeniably the largest business conglomerate of the country. Akij Group is moving
forward with its business operations standing by its employees despite the global economic
slowdown triggered by the coronavirus pandemic and has started the new fiscal year with a fresh
vow to make great strides. With a modest beginning at its inception, Akij Group has grown over
time and is now synonymous with a business empire, employing hundreds of thousands of officers,
employees and workers and making an enormous contribution to the country’s economic growth, by
way of taking the industrialization process to an altogether new height.

Page | 11
References

1. http://www.Akijgroup.com/
2. https://www.google.com/search?q=Akij+group+organogram&client=firef ox-b-
d&sxsrf=ALeKk03snri8_nEulYWse98_FSEhyrOeIA:1615575376146&tbm=isch
&source=iu&ictx=1&fir=JAXNGlYFDuyw9M%252CHz2FhYYlCxQWiM%25
2 C_&vet=1&usg=AI4_-kRUYNuCpYSQc0F-
PkTmoxYIC7ab5g&sa=X&ved=2ahUKEwjbo5yjt6vvAhVHgUsFHVIhD_MQ9
QF6BAgFEAE&biw=1280&bih=607#imgrc=JAXNGlYFDuyw9M
3. http://www.msrblog.com/business/assignment-on-Akij-group.html
4. http://Akijgroup.com/article/Akij-group:-role-model-of-ethical- business
5. https://studylib.net/doc/8960492/strategic-planning-of-Akij-group-ltd.
6. https://sayemsobhananvir.com/Akij-group-a-true-friend-of-its-employees/
7. https://en.wikipedia.org/wiki/Akij_Group

Page | 12