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Submitted By:
Submitted To:
01 October 2023
Dear Madam,
It is a great pleasure for me to submit this paper after many hardships. The title of this
report is “HRM Policy and Practices of garment Industry in Bangladesh: A Comparative
Study between DBL group and FAKIR group”. I have been active from the beginning to
the end of this report. I tried my level best in order to gather the relevant information to
outline possible conclusion. However, I greatly acknowledge your effort in this matter.
You have guided me thoroughly since the beginning and taught us how to make the report
better.
Now, it will certainly be a pleasure for me if you accept the report and thereby provide
necessary advice in this regard.
Sincerely Yours
……………………
Samia Khan Aurin
ID: BBA 068 19118
BBA program
Department of Business Administration
Stamford University Bangladesh
i
Acknowledgement
It would not be possible for me to complete my thesis project without the blessing and
kindness of my creator The Almighty Allah. Therefore, I want to express my heartiest
gratefulness to Him that helps me finish things properly within the time.
I am grateful to everyone who helps me learn various things about writing an academic
paper during this time.
In the end, I would also like to express my respect and gratitude to everyone from my
department, classmate, and friends because of their help and assistance during this time.
ii
Declaration of Student
I do hereby affirm that this thesis report on “HRM Policy and Practices of Garment Industry
in Bangladesh: A Comparative Study between DBL group and FAKIR group” has been
prepared by me, as a partial part of the fulfillment of my BBA program from the
Department of Business Administration, Stamford University Bangladesh.
I further affirm that the work in this report is original. It has not been submitted by anyone
earlier for any purpose.
Yours Sincerely
……………………
Samia Khan Aurin
ID: BBA 068 19118
BBA program
Department of Business Administration
Stamford University Bangladesh
iii
Endorsement by the Supervisor
This is to certify that Samia Khan Aurin ID: BBA 068 19118 BBA program Department of
Business Administration Stamford University Bangladesh, has done this thesis report
entitled “HRM Policy and Practices of GARMENTS Industry in Bangladesh: A
Comparative Study between DBL group and FAKIR group”, which is solely intended for
completing BBA program. I accept this report as a final report.
I wish affluence and prosperity in every aspect of his career.
……………………………..
Dr.Sarmin Sultana
Assistant Professor
Business Administration
Stamford University Bangladesh
iv
Executive Summary
v
Contents
Letter of Transmittal ......................................................................................................... i
Acknowledgement ............................................................................................................ii
Declaration of Student ..................................................................................................... iii
Endorsement by the Supervisor ......................................................................................iv
Executive Summary ........................................................................................................ v
Chapter 1: Introduction .................................................................................................... 1
1.1 Background of the study ........................................................................................ 2
vi
3.1.1Garments Overview ....................................................................................... 26
3.5 Current Trend of HRM Policies & Practices in garment Industry of Bangladesh . 51
vii
4.1.2.3 Employee’s perks and privileges ................................................................... 59
6.2 Recommendation................................................................................................. 69
References .................................................................................................................... 72
viii
Chapter 1: Introduction
1
1.1 Background of the study
The garments industry acts as a catalyst for the development of Bangladesh. The "Made
in Bangladesh" tag has also brought glory for the country, making it a prestigious brand
across the globe. Bangladesh, which was once termed by cynics a "bottomless basket"
has now become a "basket full of wonders." The country with its limited resources has
been maintaining 6% annual average GDP growth rate and has brought about remarkable
social and human development.
After the independence in 1971, Bangladesh was one of poorest countries in the world.
No major industries were developed in Bangladesh, when it was known as East Pakistan,
due to discriminatory attitude and policies of the government of the then West Pakistan.
So, rebuilding the war-ravaged country with limited resources appeared to be the biggest
challenge.
The industry that has been making crucial contribution to rebuilding the country and its
economy is none other than the readymade garment (RMG) industry which is now the
single biggest export earner for Bangladesh. The sector accounts for 83% of total export
earnings of the country.
When our only major export earner "the jute industry" started losing its golden days, it is
the RMG sector that replaced it, and then, to overtake it.
The apparel industry of Bangladesh started its journey in the 1980s and has come to the
position it is in today. The late Nurool Quader Khan was the pioneer of the readymade
garment industry in Bangladesh. He had a vision of how to transform the country. In 1978,
he sent 130 trainees to South Korea where they learned how to produce readymade
garments.
With those trainees, he set up the first factory "Desh Garments" to produce garments for
export. At the same time, the late Akhter Mohammad Musa of Bond Garments, the late
Mohammad Reazuddin of Reaz Garments, MdHumayun of Paris Garments, Engineer
Mohammad Fazlul Azim of Azim Group, Major (Retd) Abdul Mannan of Sunman Group,
M Shamsur Rahman of Stylecraft Limited, the first President of BGMEA, AM Subid Ali of
2
Aristocrat Limited also came forward and established some of the first garment factories
in Bangladesh.
Following their footsteps, other prudent and hardworking entrepreneurs started RMG
factories in the country. Since then, Bangladeshi garment industry did not need to look
behind. Despite many difficulties faced by the sector over the past years, it has carved a
niche in world market and kept continuing to show robust performance.
Since the early days, different sources of impetus have contributed to the development
and maturity of the industry at various stages. We learned about child-labour in 1994, and
successfully made the industry free from child labour in 1995.
The MFA-quota was a blessing to our industry to take root, gradually develop and mature.
While the quota was approaching to an end in 2004, it was predicted by many that the
phase-out would incur a massive upset in our export.
However, the post-MFA era is another story of success. Proving all the predictions wrong,
we conquered the post-MFA challenges. Now the apparel industry is Bangladesh's
biggest export earner with value of over $27.9 billion of exports in 2019-20 financial year.
The Ready Made Garments industry of Bangladesh has expanded dramatically over the
last three decades.
The history of the Readymade Garments Sector in Bangladesh is a fairly recent one.
Nonetheless, it is a rich and varied tale. The recent struggle to realize Workers’ Rights
adds an important episode to the story.
3
The RMG industry of Bangladesh has expanded dramatically over the last three decades.
Traditionally, the jute industry dominated the industrial sector of the country until the
1970s. Since the early 1980s, the RMG industry has emerged as an important player in
the economy of the country and has gradually replaced the jute industry.
Bangladesh exports 35 types of garment products to about 31 countries around the world.
The RMG sector is a 100% export-oriented industry.
The garment industry of Bangladesh has been the key export division and a main source
of foreign exchange for the last 25 years. National labor laws do not apply in the EPZs,
leaving BEPZA in full control over work conditions, wages and benefits. Garment factories
in Bangladesh provide employment to 40 percent of industrial workers. But without the
proper laws the worker is demanding their various wants and as a result conflict is began
with the industry
Raw materials:
Bangladesh imports raw materials for garments like cotton, thread color etc. This
dependence on raw materials hampers the development of garments industry. Moreover,
foreign suppliers often supply low quality materials, which result in low quality products
4
Unskilled workers:
Most of the illiterate women workers employed in garments are unskilled and so their
products often become lower in quality.
Taking the advantages of workers’ poverty and ignorance the owners forced them to work
in unsafe and unhealthy workplace overcrowded with workers beyond the capacity of the
factory floor and improper ventilation.
Most of the garment factories in our country lack the basic amenities where our garment
workers sweat their brows from morning to evening to earn our countries the major portion
of our foreign exchange. Anybody visiting the factory the first impression he or she will
have that these workers are in a roost.
Improper ventilation, stuffy situation, filthy rooms are the characteristics of the majority of
our factories. The owners’ profit is the first priority and this attitude has gone to such an
extent that they do not care about their lives.
There are some other problems which are associated with this sector. Those are- lack of
marketing tactics, absence of easily on-hand middle management, a small number of
manufacturing methods, lack of training organizations for industrial workers, supervisors
and managers, autocratic approach of nearly all the investors, fewer process units for
textiles and garments, sluggish backward or forward blending procedure, incompetent
ports, entry/exit complicated and loading/unloading takes much time, time-consuming
custom clearance etc.
In the garment industry in Bangladesh, tasks are allocated largely on the basis of gender.
This determines many of the working conditions of women workers. All the workers in the
sewing section are women, while almost all those in the cutting, ironing and finishing
sections are men. Women workers are absorbed in a variety of occupations from cutting,
5
sewing, inserting buttons, making button holes, checking, cleaning the threads, ironing,
folding, packing and training to supervising.
Women work mainly as helpers, machinists and less frequently, as line supervisors and
quality controllers. There are no female cutting masters. Men dominate the administrative
and management level jobs. Women are discriminated against in terms of access to
higher-paid white collar and management positions.
When asked why they prefer to amply women for sewing, the owner and managers gave
several reasons. Most felt that sewing is traditionally done by women and that women are
more patient and more controllable than men.
Wages:
The government of Bangladesh sets minimum wages for various categories of workers.
According to of Minimum Wage Ordinance 1994, apprentices’ helpers are to receive
Tk500 and Tk930 per month respectively. Apprentices are helpers who have been
working in the garment industry for less than three months. After three months,
Apprentices are appointed as helpers. Often female helpers are discriminated against in
terms of wages levels, and these wages are also often fixed far below the minimum wage
rate. A survey conducted in 1998 showed that 73% of female helpers, as opposed to 15%
of their male counterparts, did not receive even the minimum wage.
Readymade garments (RMG) exports to North American and European countries account
for the majority of Bangladesh’s export earnings, accounting for 75% of total export
earnings. Unsurprisingly, the economic crisis in those countries makes us worried.
6
is attracted to Bangladesh’s remarkable economic and social progress in recent decades
as the country celebrates its 50th anniversary of independence.
Despite the losses caused by the COVID-19 outbreak, the South Asian country is on track
to become a middle-income country in the future years. Bangladesh is now one of the
world’s leading textile exporters, accounting for 84 percent of all exports.
This is owing to the garment industry’s enormous expansion and modernization over the
previous decade, as well as progress made in improving the working conditions of the
country’s four million garment workers.
The importance of the RMG sector in Bangladesh’s economy cannot be overstated. Since
the last decade, the RMG industry has made a significant contribution to the national
economy. The RMG industry accounts for roughly 76 percent of overall export revenues.
According to statistics, Bangladesh’s RMG sector earned US$ 5,686.06 million in FY
2003-04, US$ 6,417.67.67 million in FY 2004-05, US$ 7900.80 million in FY 2005-06,
US$ 9,211.23 million in FY 2006-07, US$ 10,699.80 million in FY 2007-08, US$ 12.35
billion in FY 2008-09, and finally US$ $24.49 billion in FY 2013-14.
Well here are some key factors which actually have an influence on the garments sectors
are-
3. Upgrades in technology,
5. Zones designated for special economic purposes or for the processing of exports,
7
1.4 Objective of the study
Any study can primary be categorized into two categories: Qualitative and quantitative.
8
1.5 Scope and Limitations of the study
The scope of this study is very narrow because it primarily deals with only HRM policies
and practices of garments industry. Therefore, this study will not be going to provide much
crucial information regarding the HRM practices of other industries. Besides, only two
different companies have been analyzed in this study, which may not portray the exact
scenario of this industry. Apart from a narrow scope, there are some limitations to this
study, which have been given below.
Lack of analytical analysis of this study may not help people to reach any specific
conclusion.
Lack of sample size for analyzing the HRM policies and practices will not be much
advantageous to understand the exact scenario of this industry.
Large scale study was not possible due to time and resource constraints
9
Chapter 2: Profiles of two Garments
10
2.1 DBL Group
2.1.1 Overview
DBL Group is a leading wholesale clothing manufacturer in Bangladesh and in the world.
The company produces some of the most fashionable denim fabrics and garment
products and owns one of the most comprehensive and resourceful manufacturing
facilities.largest Bangladeshi conglomerates in textile and garments sector. It owns 26
garments factories, sweater factory, poly bag industry, label factory, jute mill, chemical
formulation plant, tea estates, transport company, a widely circulated national daily
newspaper. It employs 50 thousand people.
Vision:
11
2.1.3 Corporate Profile
APPARELS
DBL is amongst the largest manufacturers and exporters of knit garments in Bangladesh.
The main markets are in Europe, the United States, and Canada.
SPINNING
Our spinning mill, Matin Spinning Mills PLC, is one of the most modern spinning mills in
Bangladesh having 72,000 spindles in Ring, 480 head Air-jet & 1280 head Open end.
12
KNITTING
DBL Group’s knitting sector is among Bangladesh's top knitting businesses, and we
exclusively produce top-notch clothing for consumers.
DYEING
According to the needs and requests of the customers, the on-site lab produces high-
quality colors in the shortest amount of time. We provide high-quality items, and the
dependence of the customers have on us is rising.
EMBROIDERY
DBL Group has an embroidery production facility along with other production facilities that
give it a strong backward link. It offers a wide range of embroidery services, from stitching
to cording.
For fabric printing, DBL Group brought the newest European laser engraving technology
to Bangladesh.
SCREEN PRINT
DBL Group’s printing of clothing uses both mechanized and manual processes, as well
as modern technologies.
WASHING
DBL Group’s washing facilities, which use cutting-edge equipment, are among the best
in Bangladesh's garment washing sector. According to the demands and requirements of
customers, on-site lab produces high-quality colors in the shortest amount of time.
PACKAGING
DBL Group imports raw materials from Australia, Indonesia, and Thailand. Parkway
Packaging & Printing PLC, the facility for the corrugated carton production, is completely
automated.
13
GARMENT ACCESSORIES
DBL Group's Accessories Unit began operations in 2014 with cutting-edge equipment
from companies like Jakob Muller AG Frick (Switzerland), COMEZ (Italy), Focus (UK),
Charming star (Taiwan), etc.
CERAMIC TILES
DBL Ceramics Limited set out on its journey with the unwavering aim to provide exquisite
and premium-quality ceramic tiles to meet the demands of various architectural styles and
types of buildings.
TELECOMMUNICATION
DBL Telecom Limited is one of the leading providers of various services, providing
services and advice in the field of Information Technology and Telecommunications.
PHARMACEUTICALS
DBL Group's new and enthused initiative is DBL Pharmaceuticals. With a goal of
achieving WHO cGMP, UK MHRA, and USFDA certifications, DBL Group is currently
constructing cutting-edge pharmaceutical manufacturing facilities.
SEWING THREAD
DBL Group's Eco Threads & Yarns is a new initiative that aims to improve the apparel
and textile industries of the nation by providing high-quality global sewing thread, dyed
sweater yarn, and fibre & yarn dyeing services.
TEXTILE TESTING
Future Plans
14
Enhanced dyeing capacity up to 70 Tons
Introduction of 20 Tons CPB Dyeing
ETP expansion
Enhancing ETP capacity up to 12000 m3/Day
Digital Apo:
Excited to start this soon with a 5 tons/day capacity
Yarn Dye:
Excited to start this soon with a 7 tons/day capacity
15
2.1.5 Sustainability
DBL Group defines Sustainability as “the ability to survive and grow”. DBL’s
Sustainability 5.0 Strategy consists of Five Pillars: People, Process, Product,
Community, and Environment: thus, integrating a holistic approach toward Social and
Environmental Sustainability.
DBL takes various initiatives with partners to address these five pillars:
These are the key elements of DBL's commitment to understanding and meeting the
community's needs.
16
2.1.6 Milestone of DBL company
DBL Ceramics: Third position in the Ceramic subcategory, National Productivity and
Quality Excellence Award 2021, "Large Industry" category
Matin Spinning Mills PLC: Second position in the Textile & Spinning subcategory,
National Productivity and Quality Excellence Award 2021, "Large Industry" category
M. A. Jabbar, Managing Director, DBL Group, recognized as the 2023 Global Compact
Network Bangladesh SDG Pioneer
17
Matin Spinning Mills PLC (MSMPLC), a concern of DBL Group has won Silver at the 9th
ICSB National Award 2021 for Corporate Governance Excellence
Matin Spinning Mills PLC, a concern of DBL Group received the ICMAB Best Corporate
Award 2021 in the Textile category
2022-11-17
2022-11-17
2022-11-17
2022-11-17
DBL Group's Managing Director, M. A. Jabbar has been awarded The Business
Person of the Year 2021 award
2022-09-2
Fakir Group is a combination of composite knit Garments, Garments Label designing &
Manufacturing, Printing & Packaging, Paper & Board manufacturing, Air transportation
18
(Passenger & Cargo), Information Technology & Media and Export & General Trading
business engaged since four decades.
2.2.1 Overview
Group's Philosophy
To bring economic growth catering the need of the buyer & valued clients at home &
abroad and thus to contribute the nation. Group's Policy includes its emphasis on
corporate social responsibility and her active involvement in regional & religious activities
in improving poverty level, illiteracy & unemployment.
History
Since the emergence of Bangladesh Fakir Group have had a vital role in the development
of knit garments sector. The group has been working with an outstanding result oriented
performance which simply coming out of inherited & inherent initiatives. Fakir Group
throughout its striving in industrialization has emphasized in identifying & innovating the
industrial & business linkage needs and has been initiating all possible measures to
satiate required establishments.
At this stage fakir group focused to be one of the best & largest conglomerate especially
in garment sector in the country, employed around 12000 people to its member
companies.
Fakir Group is best described by 3 (three) words - Sincerity, Honesty & Quality.
19
In spite of having in-numerous problems and limitations of available resources to build up
such a voluminous establishment the entrepreneur had to face tremendous hardship but
patience and management maneuvering and palavering of all the concerted efforts and
coordination of all levels of expertise ultimately led to its success. The entrepreneur is
always driven by the goal of profit maximization competing with each other only for the
valuable clients in a free market strategy.
Fakir Shamsuzzaman has also applied his tireless efforts & philanthropic dynamism for
religiosity, education, poverty alleviation & over all social wellbeing. He is an active
member of ROTARY International and also affiliated with concerned business
communities – e.g. BGMEA, BKMEA, BAFFA & ATAB, Narayanganj club, Narayanganj
chamber of commerce & Industry, Label manufacturing association, Cartoon
manufacturing association etc.
He is a believer, by religion Muslim, Performed the holly Hajj & OMRAH. Visited almost
all important cities of the world around Asia, Australia, America & Europe. Fakir
Shamsuzzaman is a pleasant Personality to live with & to work with because of his
inherent generosity, Optimistic attitude & conceptual superiority.
We keep him praying for the blessings from the almighty "Allah"
20
2.2.2 Vision and Mission
Mission
Fakir Group is a combination of composite knit Garments, Garments Label designing &
Manufacturing, Printing & Packaging, Paper & Board manufacturing, Air transportation
(Passenger & Cargo), Information Technology & Media and Export & General Trading
business engaged since four decades.
21
2.2.4 Products and Services
A member company of fakir group began its commercial journey since 2010. It's a 100%
export oriented knit garment industry of 3.6 million Pcs capacity per annum.
FGL already attained the reputation to be the most dependable garments industry for high
quality knit garments products of multi-dimensional styles (Tops & Bottoms).
o Prenatal (Spain/Italy)
o Wehmeyer (Germany)
o ATC (Germany)
o Scapino (Netherlands)
A member company of fakir group began its commercial journey since 2010.
Fakir Aviation already attained the reputation to be the most dependable travel agency
serving Air passengers & lifting Cargo both sea & air to and from Bangladesh at possible
destinations around the world.
22
o Mosfiq Paper Industry
o Compact–O-style Ltd
o Dhaka University
o Victoria University
o National University.
A member company of fakir group began its commercial journey since 2010.
23
o Nazrul Traders
Zaman Label
A member company of fakir group began its commercial journey since 2003Zaman
Label already attained the reputation to be the most dependable garments Label
industry for high quality products of multi-dimensional styles &
purpose.Maintaining Environmental Foot Print
Priorities:
Reduce GHG
Reduce waste
Priorities:
Priorities:
Ensure Safety
Reliability
Innovations
Customers Values
24
Chapter 3: Review of Relevant Literature
25
3.1 Garments industry
3.1.1Garments Overview
The readymade garments industry acts as a catalyst for the development of Bangladesh.
The "Made in Bangladesh" tag has also brought glory for the country, making it a
prestigious brand across the globe. Bangladesh, which was once termed by cynics a
"bottomless basket" has now become a "basket full of wonders." The country with its
limited resources has been maintaining 6% annual average GDP growth rate and has
brought about remarkable social and human development.
After the independence in 1971, Bangladesh was one of poorest countries in the world.
No major industries were developed in Bangladesh, when it was known as East Pakistan,
due to discriminatory attitude and policies of the government of the then West Pakistan.
So, rebuilding the war-ravaged country with limited resources appeared to be the biggest
challenge.
The industry that has been making crucial contribution to rebuilding the country and its
economy is none other than the readymade garment (RMG) industry which is now the
single biggest export earner for Bangladesh. The sector accounts for 83% of total export
earnings of the country.
When our only major export earner "the jute industry" started losing its golden days, it is
the RMG sector that replaced it, and then, to overtake it.
The apparel industry of Bangladesh started its journey in the 1980s and has come to the
position it is in today. The late NuroolQuader Khan was the pioneer of the readymade
garment industry in Bangladesh. He had a vision of how to transform the country. In 1978,
he sent 130 trainees to South Korea where they learned how to produce readymade
garments.
With those trainees, he set up the first factory "Desh Garments” to produce garments for
export. At the same time, the late Akhter Mohammad Musa of Bond Garments, the late
Mohammad Reazuddin of Reaz Garments, MdHumayun of Paris Garments, Engineer
Mohammad Fazlul Azim of Azim Group,
26
3.1.3 Key events in garments industry
Types of garments
Classes of basic garments: shirt, coat, skirt, dress, suit, underwear, swimsuit. Length, for
skirts and dresses: micro-mini, mini, tea length, ballerina length, full length, midi, maxi.
Contemporary and historical styles of garments: corset, frock coat, t-shirt, doublet. Parts
of garments: sleeve, collar, lapel.
With fashion being a trillion-dollar industry, you can be sure that there are many types of
clothes within it.
Clothing is worn at home, to work, when out socially or participating in sporting and leisure
activities. We also wear clothing for important occasions like weddings and graduations.
If there’s an event or activity that we would not attend naked, then clothing is considered
essential.
27
Lingerie – undergarments worn for support and / or decoration
Abaya
Anorak/Hoodie
Bath Robes
Beach wear
Bermudas
Blazer
Blouse
Bridal dress
Capri
Cardigans
Casual wear
28
Chemises
Coat
Denim wear
Dress
Dungarees
Ethnic Wear
Evening dress
Feather garment
Formal wear
Frock
Fur garment
Infant Wear
Inner Garments
Jacket
Jeans
Kaftan
Kimono
Kurta
Kurti
Leggings
29
Lengha Choli / Chaniya Choli
Leotards
Lingerie
Maternity clothes
Overcoat
Pajamas
Palazzo
Parka
Polo shirt
Pullover
Rain wear
Rompers
Salwar Suit
Saree
Scrubs
Shirt
Shorts
Skirt
Sports wear
Sweater
Sweatshirt
Swim wear
30
Tank top
Thermal wear
Tops
Trouser
T-shirt
Uniforms
Waist coat
Windcheater
Work wear
Yoga wear
31
3.1.6 Functions of the garments Industry
The apparel or garment industry is the final stage of textile manufacturing where cloth is
cut into different parts and sew to make various types of apparel. However, different
shapes and styles of fabrics are made according to the buyer’s requirements.
Besides, the management of the industry set up their garment production line with the
required
The apparel industry consists of different sections in contrast. On the other hand, every
section is responsible for better production. Overall, I include the section which is directly
related to the production. Besides, there is some subdivision in all the sections which will
perform continuously through that’s section. The following sections are the principle
section regarding production. The following are the functions of different sections of the
apparel industry. They are-
32
Sample Section:
The sample section is the first section of the apparel manufacturing industry.
Firstly, to make the correct sample is the first functions of sample section.
Cutting Section:
The cutting section is the second section after the sample section. The cutter operates
for the cutting operation. The following work performs in the cutting section. They are-
Sewing Section:
In the sewing section, cut pieces of fabric are assembled in the sewing operation.
Finishing Section:
After sewing, the fabric sends to the finishing section. Here, different ornamenting work
performs to ready the products for shipment.
Ironing
Folding
Packing
Arranging
The quality control officer performs the final inspection before shipment. After
quality inspection, it decides that the fabric is ok for delivery or is it reject.
33
Store:
The store is essential to preserve the raw materials and final finished goods. It is important
to maintain correct information about the currently stored materials.
Material receiving.
Maintenance Section:
The maintenance section is responsible to ensure the proper function of the machine and
its parts. They do the following works.
The above sections are important to maintain good production efficiency. If any of the
sections becomes fail to maintain the proper work, then the production will hamper.
So, management, who is responsible for the production should ensure the proper work of
each section of the apparel industry. However, the management should give deep
concern to employees’ and workers’ safety because the buyer always follows
the compliance issue regarding the workplace environment of the garment industry.
Besides, it is important to implement some improvement techniques such
as 5S, kaizen, TQM, and TPM for continuous improvement of the process to
get maximum profit.
34
3.2 Garment Industry of Bangladesh
The readymade garments industry acts as a catalyst for the development of Bangladesh.
The "Made in Bangladesh" tag has also brought glory for the country, making it a
prestigious brand across the globe. Bangladesh, which was once termed by cynics a
"bottomless basket" has now become a "basket full of wonders." The country with its
limited resources has been maintaining 6% annual average GDP growth rate and has
brought about remarkable social and human development.
After the independence in 1971, Bangladesh was one of poorest countries in the world.
No major industries were developed in Bangladesh, when it was known as East Pakistan,
due to discriminatory attitude and policies of the government of the then West Pakistan.
So, rebuilding the war-ravaged country with limited resources appeared to be the biggest
challenge.
The industry that has been making crucial contribution to rebuilding the country and its
economy is none other than the readymade garment (RMG) industry which is now the
single biggest export earner for Bangladesh. The sector accounts for 83% of total export
earnings of the country.
The garment industry is key to the overall economy. It accounted for about 9.3% of GDP
in the fiscal year through June 2022. The sector also made up 82% of total exports last
calendar year, earning $45.7 billion, an amount exceeding the country's FX reserves of
This year's expected global slowdown could hit Bangladesh's key garment industry hard.
We see the sector's exports growth falling by roughly 3 percentage points in 2023 as
world demand for clothing slows.
35
$34 billion at the end of 2022
This year's expected global slowdown could hit Bangladesh's key garment industry hard.
We see the sector's exports growth falling by roughly 3 percentage points in 2023 as
world demand for clothing slows.
This will add pressure on already-dwindling foreign exchange reserves and weigh on
GDP. The damage could also be worse if persistent power outages at the country's
factories cause overseas buyers to shift orders elsewhere.
In 2023, this should mean growth in apparel shipments decelerates to 24.4% from
27.6% a year earlier. The slowdown implies $1.5 billion less revenue than if
shipments maintained last year's pace.
36
3.2.3 Current Nature of garments Sector of Bangladesh
Clothing industry or garment industry summarizes the types of trade and industry along
the production and life chain of clothing and garments, starting with the textile industry
(producers of cotton, wool, fur, and synthetic fibre) via fashion industry to fashion retailers
up to trade with second-hand clothes and textile recycling. The producing sectors build
upon a wealth of clothing technology some of which, like the loom, the cotton gin, and the
sewing machine heralded industrialization not only of the previous textile manufacturing
practices.
Industries in the Apparel Manufacturing subsector group establishments with two distinct
manufacturing processes: (1) cut and sew (i.e., purchasing fabric and cutting and sewing
to make a garment), and (2) the manufacture of garments in establishments that first knit
fabric and then cut and sew the fabric into a garment. The Apparel Manufacturing
subsector includes a diverse range of establishments manufacturing full lines of ready-
to-wear apparel and custom apparel: apparel contractors, performing cutting or sewing
operations on materials owned by others; jobbers performing entrepreneurial functions
involved in apparel manufacture; and tailors, manufacturing custom garments for
individual clients are all included. Knitting, when done alone, is classified in the Textile
Mills subsector, but when knitting is combined with the production of complete garments,
the activity is classified in Apparel Manufacturing.
There are considerable overlaps between the terms clothing-/garment-, textile- and
fashion industry. The clothing sector is concerned with all types of clothes, from fashion
to uniforms, e-textiles and work wear. Textile industry is less concerned with the fashion
aspect but produces the fabrics and fibers that are required for tailoring. The fashion
industry closely follows - and sets - fashion trends to always supply the latest in non-
functional clothing.
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NATURE OF THE INDUSTRY
The textile, textile product, and apparel manufacturing industries include establishments
that process fiber into fabric and fabric into clothing and other textile products. While most
apparel manufacturers worldwide rely on people to cut and sew pieces of fabric together,
U.S. manufacturing has become highly automated. Because the apparel industry has
moved mainly to other countries with cheaper labor costs, that which remains in the
United States must be extremely labor efficient to compete effectively with foreign
manufacturers.
The establishments in these industries produce a variety of goods, some of which are
sold to the consumer, while others are sold as inputs to the manufacture of other products.
Natural and synthetic fibers are used to produce threads and yarns—which may be
woven, knitted, or pressed or otherwise bonded into fabrics—as well as rope, cordage,
and twine. Coatings and finishes are applied to the fabrics to enhance the decorative
patterns woven into the fabric, or to make the fabric more durable, stain-resistant, or have
other properties. Fabrics are used to make many products, including awnings, tents,
carpets and rugs, as well as a variety of linens—curtains, tablecloths, towels, and sheets.
However, the principal use of fabrics is to make apparel. Establishments in the apparel
manufacturing industry produce many knitted clothing products, such as hosiery and
socks, shirts, sweaters, and underwear. They also produce many cut-and-sew clothing
items like dresses, suits, shirts, and trousers.
INDUSTRY ORGANIZATION
Textile mills provide the raw material to make apparel and textile products. They take
natural and synthetic materials, such as cotton and polyester, and transform them into
fiber, yarn, and thread. Yarns are strands of fibers in a form ready for weaving, knitting,
or otherwise intertwining to form a textile fabric. They form the basis for most textile
production and commonly are made of cotton, wool, or a synthetic fiber such as polyester.
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Yarns also can be made of thin strips of plastic, paper, or metal. To produce spun yarn,
natural fibers such as cotton and wool must first be processed to remove impurities and
give products the desired texture and durability, as well as other characteristics. After this
initial cleaning stage, the fibers are spun into yarn.
Textile mills then go on to produce fabric by means of weaving and knitting. Workers
in weaving mills use complex, automated looms to transform yarns into cloth. Looms
weave or interlace two yarns, so they cross each other at right angles to form fabric.
Knitting mills use automated machines to produce fabric of interlocking loops of one or
more yarns.
At any time during the production process, a number of processes, called finishing, may
be performed on the fabric. These processes—which include dyeing, bleaching, and
stonewashing, among others—may be performed by the textile mill or at a separate
finishing mill. Finishing encompasses chemical or mechanical treatments performed on
fiber, yarn, or fabric to improve appearance, texture, or performance.
Textile product mills convert raw textiles into finished products other than apparel. Some
of the items made in this sector include household items, such as carpets and rugs,
towels, curtains and sheets, cord and twine, furniture and automotive upholstery, and
industrial belts and fire hoses. Because the process of converting raw fibers into finished
textile products is complex, most textile mills specialize.
Many of the remaining production workers work in teams. For example, sewing machine
operators are organized into production "modules." Each operator in a module is trained
to perform nearly all of the functions required to assemble a garment.
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3.3 HRM Policy and Practices
Human Resource Management (HRM or HR) is the strategic approach to the effective
management of people in a company or organization such that they help their business
gain a competitive advantage. According to Wallace et al (2016), it is designed to
maximize employee performance in service of an employer's strategic objectives. Human
resource management is primarily concerned with the management of people within
organizations, focusing on policies and systems (Collings, Wood & Szamosi, 2018). HR
departments are responsible for overseeing employee-benefits design, employee
recruitment, training and development, performance appraisal, and reward management,
such as managing pay and benefit systems. HR also concerns itself with organizational
change and industrial relations, or the balancing of organizational practices with
requirements arising from collective bargaining and governmental laws.
HR is a product of the human relations movement of the early 20th Century, when
researchers began documenting ways of creating business value through the strategic
management of the workforce (Obedgiu, 2017). It was initially dominated by transactional
work, such as payroll and benefits administration, but due to globalization, company
consolidation, technological advances, and further research, HR as of 2015 focuses on
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strategic initiatives like mergers and acquisitions, talent management, succession
planning, industrial and labor relations, and diversity and inclusion. In the current global
work environment, most companies focus on lowering employee turnover and on
retaining the talent and knowledge held by their workforce.[citation needed] New hiring
not only entails a high cost but also increases the risk of a new employee not being able
to adequately replace the position of the previous employee. HR departments strive to
offer benefits that will appeal to workers, thus reducing the risk of losing employee
commitment and psychological ownership.
Strategic HRM refers to HR that is coordinated and consistent with the overall business
objectives in order to improve business performance. According to Purcell (1999), SHRM
focuses on actions that differentiate the business from its competitors.
In the last two decades, there has been an increasing awareness that HR functions were
like an island unto itself with softer people-centered values far away from the hard world
of real business. In order to justify its own existence HR functions had to be seen as more
intimately connected with the strategy and day to day running of the business side of the
enterprise. Many writers in the late 1980s, started clamoring for a more strategic approach
to the management of people than the standard practices of traditional management of
people or industrial relations models. Strategic human resource management focuses on
human resource programs with long-term objectives. Instead of focusing on internal
human resource issues, the focus is on addressing and solving problems that effect
people management programs in the long run and often globally. Communication
between HR and top management of the company is vital as without active participation
no cooperation is possible.
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3.3.3 Core functions of Human Resources Management
Staffing
This includes the activities of hiring new full-time or part-time employees, hiring
contractors, and terminating employee contracts.
Development
On-boarding new employees and providing resources for continued development is a key
investment for organizations, and HR is charged with maintaining a developmental
approach to existing human resources.
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Compensation
Salary and benefits are also within the scope of human resource management. This
includes identifying appropriate compensation based on role, performance, and legal
requirements (Martocchio, 2011).
Achieving best practices in various industries include careful considering of safety and
health concerns for employees.
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3.3.4 HRM Practices and Policies
The modern view of HRM first gained prominence is 1981 with its introduction on the
prestigious MBA course at Harvard Business School. Sarkul (2003) defines manpower
as power available from or supplied by the physical as well as intellectual efforts of man.
Effective HR practices are found to lead to positive organizational outcomes (Becker and
Gerhart, 1996) such as turnover and productivity. HR practices are generally categorized
into the following: hiring and selection practices, incentives and rewards, safety training,
communication and feedback, worker participation, management commitment, and
performance evaluation.
Compensation should be more immaterial in nature. This might involve the person’s
career prospects, for example the opportunity to grow within the company or participate
in international exchanges of information which allow him to get involved in strategic
policy planning (Harzing and Van Ruysseveld, 1995). HRM is being practiced either
formally or informally to a greater or lesser extent in business enterprises regardless of
their size (Moyeen and Huq, 2001). There is, in fact, no comprehensive study found on
overall HRM practices in Commercial banks of Bangladesh.
Human resource management is the procedure of linking the function of human resource
with the goals of the firm to drive and improve productivity. In simple terms, management
of human resources involves hiring, recruiting, and managing employees. A human
resource that is successful requires many pieces of the company, involving the
administration of safety and health and the organizational culture. When you understand
every element of human resource management, you can structure your business
processes effectively.
Organizational culture
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Organizational culture involves bringing together values, company vision, belief and
traditions, and working rules that a firm has adopted over time. The human resource
system plays a crucial role of influencing the organizational culture within the business
premises. Establishing company standards, procedures, and guidelines allows the
employees to know and learn acceptable behaviors and practices at workplace premises.
For instance, a policy may be in place stating that punctuality if vital within the firm to
promote time management skills among employees.
The human resource team may also come up with a flexible time management policy that
will value the freedom of employees to manage their schedules. Therefore, the culture of
the organization will affect how people will function on their duties.
The business world is changing at a very fast rate. Technology is changing and it is
updating constantly, finances of businesses keep changing over time, and employees
come and go. It the sole responsibility of the human resource development team to help
the company to stabilize the firm for continuous change. Planning for change involves
helping employees understand their functions by taking into account the perspective of
the firm.
It involves constructing bridges between managers and departments and get people to
start talking about certain circumstances. The human resource team uses this info to
develop a management plan for changes in work flow, disasters, and for reassuring
employees in times of alarming change or disaster.
Management of conflicts
There are those moments when there may arise a conflict between the employee and the
employer. No one can avoid a conflict from taking place. However, you can just try to
manage them. The human resource team will bear the role of the mediator or counsellor
to sort these differences effectively. They take the right course of action to ensure that
nothing gets out of hand.
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Health and safety
According to the founder of a web design company, Kenneth, the Human resource
management system plays the role of safety and health in the workplace. You can achieve
this through policies and procedures, but the function of the human resource goes a
further step to ensure that employees understand the risk of carrying out particular
activities. For instance, if there are heavy machines in the office, this team will have to
make posters, warning signs, and relevant steps in case there is an emergency. These
posts minimize the possibility of an accident occurring and helps to eliminate subsequent
legal action that might face the company.
While recruitment and retention seems to be a function of the human resource team, it
remains the main hub of all policies and systems of human resource departments.
Acquiring qualified employees, retaining them in the company, giving them the right
training to complete their jobs and encouraging them to further their education, skills, and
awarding them with compensation and benefits will drive your organization to success.
The human resource department has the basic function of ensuring that it grows good
working relations among employees. They possess the responsibility of seminars,
meetings, and other official gatherings for the management. This department also lends
a helping hand when drafting marketing and business plans.
Implementing and developing the right human resource system for your firm is vital. While
it may seem possible to handle these functions manually, using an automated system will
give enough time to the human resource team to maintain and develop the data that gets
into the system. You need to remember that each company requires its human resource
management system because companies differ in size.
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3.3.5.2: Benefits for Employees
Employee benefits cover the indirect pay of your workforce. This can be health insurance,
stock options, or any myriad of things offered to employees. While two jobs can offer the
exact same salary, they can vary greatly in terms of benefits, hence making one offer a
better financial proposition than the other. This highlights the importance of employee
benefits in a job offer.
Traditionally, most benefits used to fall under one of the four major types of employee
benefits, namely:
Benefits at work
Benefits for health
Benefits for financial security
Lifestyle benefits
Nowadays, however, the list of employee benefits continues to grow. We will take a look
at different examples of employee benefits below.
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Benefits at work
This includes working hours & leave, skills development, food & beverage, and employee
clubs, activities & gifts.
Working hours & leave: Think of flextime here for instance. Flextime gives your
employees the possibility to decide about their working hours and/or the location they
want to work from. Other examples include additional holidays and, one of the other
benefits employees value most, paid parental leave.
Food & Beverage: We already mentioned the meal vouchers in France. Other benefits
that fall into this category include free lunches, fruit, and coffee. At AIHR, we get to enjoy
a free lunch every day and it is something that’s very much appreciated by the team. As
an added bonus, free lunch and fruit are also a good way to promote healthy eating habits
at work.
Health and wellness: More and more companies have employee wellness programs. The
possibilities are endless and examples of employee wellness programs vary from a
simple gym membership to full suite solutions that include physical, mental and financial
wellness.
Healthcare: Healthcare benefits also come in different shapes and sizes. Think of
physiotherapy and chiropractic sessions, for instance, but sometimes fertility treatments
and psychological support can be included.
The number one thing here are pension plans. Other benefits for financial security are
insurances, financial benefits for employees, and personal finance benefits.
Pension plans: Interestingly, according to the research study, pension plans are
considered as a very important benefit by every generation, but they are not among the
top ten most appreciated benefits.
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Insurances: As we mentioned above, in some countries health insurance is something
that comes with the simple fact of being an employee. Other types of insurance benefits
for employees cover parental leave or injury.
Financial benefits: Think of commissions, bonuses and the possibility for employees to
buy shares of the company they work for.
Lifestyle benefits
Mobility: Mobility benefits can make your employees’ life a lot easier. Because even if
they can work from home or elsewhere, they will still have to come into the office – or
workplace – regularly. This category covers things like public transport and cars but also
bicycles and carpooling.
It is by adopting this view that we can seriously acknowledge and implement the
transformative effect of tech in the HR environment in order to achieve successful results
within a business.
In recent years, technology has greatly automated the typical functions carried out by the
HR department. In essence, it became possible to activate online payroll transmission,
record keeping, training, skill management, job interviews, hiring and compensations.
These activities have been partly automated and managed in the Cloud, which has
automated the basic processes of HR management.
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The mot-de-passe becomes ‘productivity’: new functions are introduced, employees
become more involved, and teams work together in a more efficient manner. In essence,
there is a strong need to adopt a platform that manages talents and teamwork.
Moreover, such methods contribute to the reduction of the organization’s risks and
responsibilities. Employment laws are complicated, so taking appropriate measures by
keeping updated digital records is very important to prevent any liabilities.
Even recruitment modalities have changed drastically and are likely to transform even
more over the following years. What’s happened? They have been digitalized. In fact, Jon
Bischke, CEO of Entelo, remarks that
“Twenty years ago, the résumé was a piece of paper. Now, it’s a collection of all
[candidate] data that can be found online, like participation in online communities,
conferences and meet-ups. Recruiters can assess whether a person will fit, and learn if
he or she has the right skills for a job”.
However, evolution goes both ways: it is not only the recruiters that find new and quick
ways to employ talents. Candidates are also aware of the huge demand for jobs and they
make it easier for their potential managers to employ them by using online profiles, digital
portfolios, and social media.
In essence, every tool can be maximized in order to stand out to a potential employer and
show off one’s own talents, skills, and abilities. As Myhal claims: “You need to take
advantage of the new tools and resources that allow you to move beyond the résumé.
This will help ensure you’re finding the right hire and ultimately saving your business time,
headaches and cold, hard cash”
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3.5 Current Trend of HRM Policies & Practices in garment Industry of
Bangladesh
In Bangladesh, the central management mainly takes most of the human resource related
decisions. In different branches, these decisions are just implemented. In different
garments of the country it just follows the instruction come from the higher authority. All
the garments have their Corporate Head office in Dhaka and most of the strategic
decisions are taken from there. For the better understanding of corporate business,
continue long term relationship, ensure the desirable growth and fulfill the organizational
goal. Strategic HR follows the basic trends in different private banks in Bangladesh as
just maintaining the instruction of central authority
In different garments most of the employees agreed with this point that they are satisfied
in the nature and trend on practicing strategic HR in different banks. As it is mentioned
that most of the decisions are taken in corporate level, but at the time of appointment,
that means on the eve of joining in the bank they are introduced with the legislation and
different terms & conditions of the organization. As a result, each employee gets a clear
view about the ins and outs of their individual course of action. It also discloses the overall
picture of the organization-its previous-current future. As it provides an overall idea of
presence of HR in the banks, it covers almost all the areas.
As when overall HR situation is evaluated based on the ongoing trend, the employees
mainly tried to adjust their own expectation and nature of handling different situation.
To ensure the smooth working environment it is essential for any organization to hire
enough employees according to the necessities of each different branch. The employee’s
requirements and posting differ because of the following aspects-
If the garments cover so many financial products, then it needs more employees
The necessities of employees differ on working procedure- automation or manual
working process
When there remain two or more branches close to each other, normally less
employees is required as they have to handle comparatively lesser employees in
that case.
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Higher population creates pressure of fast service as well as larger number of
employees. Because they need to handle larger customer group
Depending upon the above factors the employees of different banks differs. garments at
the time of appointing new employees normally check their HRIS. As most of the bank
always-main updated Human Resource Information system, it is so easy for them to find
out the empty position, where new employees are required. So there a little bit chance
that there is lack of employees in different banks. The vacant situation raises mainly when
But the above factors don’t have any long-term effect on the performance of a particular
branch. Computer based information system and new recruitment immediately remove
this short-term problem. The corporate branch through effective job analysis mainly
handles it. In different banks, the employees thought that effective information system as
well as prompt decision-making deprived the problems, which may arrive in employee’s
shortage situation.
In case of treatment in Bangladeshi banking sector inside job how the management
handles their grievances. Whether there remain any unequal treatment among the
employees having same quality and competencies. Human Resource division can ensure
its smooth and accurate working environment if it can ensure that the employees will
provide their label best effort. The employees can follow this way if they are ensured that
they have enough mechanism in their hand to protest any kind of unfair practice within
the organization as well as in such situation and the management will follow the act
properly. The management is able to create enough interest among the employees within
the organizational framework of its primary obligation to senior management or immediate
higher authority.
The corporate decide what positions will have to fill and how to fill the immediate
as well as future requirements. This total procedure is designed to cover all
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positions from bottom to top level. As it is an integral part of the bank’s strategic
HR and planning process through succession planning the higher authority,
implement it. The corporate HR department also decides the expansion process
of their employment requirement. It detailed how to hire, screen the employees
and where to put them.
The common process of forecasting the personnel need is analyzing trends. The
past data and present requirements construct the idea about the trend of employee
requirement.
The higher authority study variations in the bank’s employment level in last few
years. Inauguration of new branches and service variations in different banks are
the two main key indicators of establishing the trend of personnel requirement.
By using the computer based information system - HRIS helps estimate current
and future employees requirement. This information system also figures the
average employee demand the transferring from one branch to another the
demand is fulfilled some times.
Normally internal recruitment/selection follows the above strategies. Most of the cases
this strategy is taken for the key positions of the garments.
Whether any employee is newly recruited or transferred from one place to another, they
need to adapt the working environment. Otherwise, they may not give their best for the
organization. For the adaptation in the new work responsibilities or working place, the
employees may get help from the organizational policy. On the job, training is a very
effective mechanism for the proper orientation of new employees. Form the collected data
on various employees, we found that they are introduced to their new job by maintaining
the organizational policy. Most of the employees especially who just introduced in the job,
get a fresh and effective orientation from their organization as well as from the branch.
Those who enter into the job as Management Trainee or Probationary officer always get
1-3 years probationary period with training to adapt and learn much about their job
responsibilities and organizational rule.
Training is a hallmark of good management, and a task manager ignore at their peril.
According to Brewster & Hegewisch (2017), having high potential employees does not
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guarantee they will succeed. Instead, they must know what the management want them
to do and how to do that. If they do not know, they will do the job in their own way, not
according to the management’s preference. Therefore, effective training is essential for
the improvement of both the employee and the organization.
There are various health and safety laws existing in Bangladesh. However, these are
mainly applicable for the industries where hazardous equipment’s are used. However, in
garments, there is no hazardous equipment or instrument is used. Therefore, there are
fewer requirements for marinating rigorous health and safety measure. However,
garments are prepared for any fire related accident and mere illness of the employees.
They keep fire extinguishers in their office and first aid facilities is also available.
Every employee gives a vast knowledge on how they create value for the organization
through their work and help to achieve the organizational goal. When the employees know
that how much important to perform the work properly, automatically it help to increase
the moral of employees.
Equal Employment Opportunity means employer cannot discriminate on the basis of race
color religion gender or national origin with respect to employment (Nawaz & Zaman,
2012). There are EEOC (Equal Employment Opportunity Commission) authorities who
monitor the discrimination complaint. They make the judgment through the law of the
country. The EEOC will take action if the below two situation arise
In Bangladesh, Rubel, Rimi, and Walters (2017) found that most of the employees are
satisfied with the prevailing strategic process and procedure of the bank. They feel that
the HR department is playing a vital play in employee advocacy role. They also believe
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that the recruitment and selection policy is fair enough to choose the competent
employees for the organization. The orientation process and training facility excising in
the organization is proper for achieving the strategic goals of the banks. The pay package
and benefit package is at a satisfactory level. To fulfill the strategic objective and goals,
the working environment and employee treatment should be well defined and it must have
to be implemented properly. However, in case of placing right people in the right place,
the opinion varies among the employees. Some of them think that they are not placed in
the exact position for what they are appropriate for. In some of the cases like employment
rule, equal employment situation a considerable portion of the bankers are not sure about
then policy practiced. HRIS is needed to improve the productivity and performance of the
human resource department, but in all of the branches, HRIS is not practiced in detail.
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Chapter 4: Analysis and Interpretation of the Data
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4.1 HRM Policy and Practices of DBL group
Human resource development is regarded as one of the integral parts in dbl group. It is
important to utilize human capital more efficiently to achieve institutional goals, as it is
easy to make proper distribution of other assets of the institution through skilled and
capable manpower. We have a pool of talented and skilled workforce. We also focus on
their career development by nominating them for training, seminar and workshop at home
and abroad.
In the recent years, the Human Resource Development Division (HRDD) made significant
progress towards building resilient organization by focusing on strategic workforce
planning, talent attraction and management and in leadership development by
sustainable resourcing of critical roles. The HRDD of dbl performs the following key roles.
The Board of Directors and the management team of dbl group always emphasize on
hiring talents, developing human and technical skills of the employees so that the
organization can get optimum output by utilizing limited workforce. With these ends in
view, a new area of operation, performance and merit-based promotion, right man in right
place at right time posting policy are among the few initiatives, which the SBL authority
approve and implement properly and regularly.
Recruitment is the obvious step to fill up the vacancies as every service holder retires at
a fixed age (59/60 years) as a normal procedure of service holders in dbl group. Various
reasons such as retirement or self-retirement, dismissal, death etc., manpower of the
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garments is decreasing regularly. Besides, to address the growing demand of garments
products and services and to operate new branches and divisions of SBL, recruitment is
a general necessity. The HRDD of the Bank has been consistently recruiting manpower
at different grades to meet the vacancies. To ensure the transparency and accountability,
regular transfer and posting is also an important responsibility of Human Resource
Management Division.
List of recruitment from 2014 to 2018 in different grades are given below:
Law Senior
Year CFO CITO CAO CSO Officer Total
Consultant Officer
2018 - - - - - 64 495 559
2017 - 1 1 - 1 89 12 104
2016 - - - - - - 3 3
2015 - - - - - 401 1027 1428
2014 1 - - 1 - 219 864 1085
Total 1 1 1 1 1 773 2401 3179
The HRDD of DBL group took necessary initiatives to impart fundamental knowledge as
well as the latest developments and banking rules and regulations to the employees so
that they could understand the customer’s demands and deliver prompt and efficient
services. To make the above goals successful, SBL has one Staff College in Dhaka and
six training institutes across the country. Apart from these institutions, training programs
and workshops for the employees were carried by, Training Academy and other
organizations throughout 2018. The number of courses and trainees undergone various
training programs during 2014 to 2018 are presented in the next page:
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2017 730 11822
2016 578 10867
2015 552 9984
2014 516 10187
Last but not the least, to enhance the knowledge and skills of the employees of the Bank,
there is a central library, which is located at the 7th floor of Sonali Bank Limited, Head
Office, Motijheel, Dhaka. The library is enriched with more than 10,000 books on Banking,
Foreign trade, Computer, Management, Accounting, Commercial and industry law,
Agriculture and industry finance, Economics, Religion and literature and other
contemporary books and journals. Various foreign journals like the Economist, the Times,
the Newsweek, the Reader’s Digest and other famous local and international journals and
papers are available at the library. In 2018, total 1287 books boughton various topics.
DBL is very sincere to the welfare of its employees. In 2018, the Board of Directors of the
Bank approved 3.0 incentive bonuses- each equivalent to “Basic Salary”, recreation leave
along with one month basic salary for every three year of service to all of its permanent
employees. Provident fund facility, gratuity fund, death cum retirement benefits, leave
encashment, two festival bonuses, Bangla new year allowance, employee house building
loan scheme, motor cycle loan scheme, car loan scheme for the executives, computer
loan scheme, recognition and monetary award for brilliant results by the children of the
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employees, children education allowance, honorarium for passing Banking Diploma
examination are provided to the employees.
The Board and the management of DBL sincerely believe in safety, health security at
work place that is a prerequisite for sound state of mind of employees for delivering
satisfactory services to the customers. That is why DBL takes necessary actions for
ensuring healthy and safe workplace for the employees. All the branches, regional offices
and divisions of head office are well decorated having sufficient open spaces. A team with
logistics supports and services headed by Chief Security Officer (CSO) is especially
assigned to visit regularly to monitor cleanliness, safety measures and other in all
branches. To ensure sound health of the employees, a team of doctors headed by the
Chief Medical Officer is working from head office, Dhaka and oversees the medical
activities at the zonal offices of the Bank where medical check-up is done freely.
DBL possesses a sound HR policy covering succession planning to carefully avoid the
problems of leadership vacuum under any circumstances. We have also developed a
more robust and efficient approach to our succession planning, better aligned to global
best practices. This enables us to make the most of our existing talent and strengthen our
business continuity. The HR Division has formulated and implemented an efficient
succession planning for professional employee management. Various trainings and
workshops on managerial and leadership skills are imparted to the employees so that it
can be ensured about the availability of experienced and competent employees who are
prepared to assume responsible roles.
DBL has a strong culture of rewarding and motivating the employees such as Best
Manager Award, Letter of Appreciation for outstanding performance, financial reward for
classified loan recovery, fulfilling deposit and profit target etc. The meritorious children of
the employees are awarded Chairman’s Award, MD and CEO’s Award and General
Award for bright performance in SSC and HSC examinations. Various financial Honorius
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are given to the employees for innovative products generation and passing Banking
Diploma examination.
As fakir group is having a highly technology based work environment, it is one of the basic
objectives to build a robust and productive workforce fit for the job and for future market
of globe. Therefore, training and practical orientation on various disciplines of banking
throughout the year continues under HR improvement plan. Motivation process through
various means also continues to invigorate the workforce. Special training and workshops
including refreshers’ training on Anti Money Laundering and Anti-Terrorism are
undertaken throughout the year.
Job Advertisement: This is the very first step of recruitment and selection process of
fakir group A job advertisement is made explaining the job position and roles and
responsibilities of that position.
CV Screening and Sorting: the HR department screens the CVs after receiving
application through job advertisement. Candidates are chosen for preliminary exam
through this CV screening and sorting process.
Preliminary and written exam: Sort listed candidates are informed about the exam. This
exam helps the authority to evaluate analytical, logical, and numerical skills of the
candidates.
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Interview: Candidates who achieve adequate marks on these exams receive invitation
for an interview. In this interview, candidates have to face the concern authority face to
face where he/she has to deal with various questions.
Final selection: After interview, suitable candidates are selected finally by the authority.
Appointment letter: Finally selected employees then receive appointment letter from the
company in which all conditions and facilities are explained to the candidates.
The chart below shows the recruitment and selection statistics of fakir group in 2019 and
2018.
Fakir group attaches utmost importance to the development of its employees through
continuous training so that their executives can have competitive advantage in the
market. The training need of individual employees including training need for introducing
new products, services and technology is evaluated on a continuous and systematic way.
Fakir executives are encouraged to attend high quality training at home and abroad to
develop & broaden existing knowledge and skills and to acquire new skills and expertise.
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Figure 4 Training courses and Workshop of fakir group
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Medical allowance @ 10% of basic salary is paid to each employee.
In order to provide highly sophisticated and encouraging working environment, all
the offices including head offices and branches are equipped with modern facilities
with air conditioning and generator for power back up.
All fakir group offices including head office and branches are equipped with
firefighting material and have multiple exit points for emergency exit.
A number of well thought out policies are in place for welfare of employees in DBBL those
are in addition to competitive compensation package available in the industry:
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Chapter 5: Major Findings
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This comprehensive study on exploring HRM policy and practices of garments industry
of Bangladesh has generated many crucial information. This section deals with the major
findings that will convenient the concern people to easily find information regarding the
objectives of this studies. Some of those important findings are:
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Chapter 6: Recommendations and Conclusion
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6.1 Conclusion
HRM practices are crucial for every organization. As the activities are done through the
human asset of the organization, therefore the management should be very much
cautious to formulate and implement the HR policy and practices for their organization
that could satisfy and inspire the employee to meet the organizational goal. It has been
disclosed that the present practices of strategic HRM are in satisfactory level with some
little variation. Therefore, the management should continue their present practice and
take initiative to resolve any emerging problem. This industry is growing and to sustain
this growth, effective and timely policy should be taken.
The competition in garment industry is going on sky high. Merely tough competitors can
persist under these prompt changes. Every single industry wishes to face this situation
and emerge as victorious, but it is not as easy as one can imagine. However, this can be
possible somewhat if a desire to work all together for transformation is made. Fast moving
and complex world of new techniques & skills have forced banks to consider it and to
adjust themselves to the changing banking environment. There was a requirement to
advance competencies i.e. skill, knowledge and approach among the garment employees
to make them more appropriate to the altering circumstances. Since every human being
had potential to do remarkable things and to support him to understand, develop and
utilize his/her potential, the garment should provide them knowledge and emerging
climate as well as prospects. And this was possible only if efficient and effective Human
Resource Practices, which would maximize value and minimize cost within the
organization should be applied. But there was no single practice to which all organizations
should aspire, but to some extent, each firm must have a distinguishing Human Resource
Management System that represents core competencies required for the survival and
sustainability of that particular organization. Best for one firm may not be best for other.
The best technique applied last month may not be best for today. Hence in this present
competitive world, management of human resources had been a matter of crucial
determination of success for the garment industry. Better management of human
resource had been more earnestly felt as a vital, in recent decade as before. Thus, with
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a view of the inevitability of Human Resource in the garments sector, the aim of this study
was to examine HRM Practices followed by to provide some suggestions.
6.2 Recommendation
This study has enabled us to understand the HRM practices and policies of garments
sector of Bangladesh. Different discussion and findings of the study show some areas
where some improvement needs to be made as soon as possible.
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7. Tasks/assignments/paper presentation to individuals/group of participants should
made as a regular feature experience sharing among participants to facilitate
meaningful interaction should be provided for. To the extent feasible, structured
and unstructured role plays in training sessions should be introduced.
8. Welfare measures particularly relation to hospitalization scheme, canteen facilities
at branches, scholarships for children of staff holiday homes and library facilities
at branches need reexamination and whenever feasible, these and other such
welfare measures may be suitably modified for the benefit of staff.
9. More important personnel policies like transfer and promotion are to be viewed
periodically transfer placement policy should be implemented in fairness with
minimum aphorism and undue favoritism from either side. This will instill
confidence amongst all.
10. The system of reward and punishment should be made more clear and transparent
while there should be an institutionalized system for calling periodical information,
good work done by staff for prompt appreciations of their deeds and punishment
to the erring employees should be quick and proper to serve as a deterrent to
others.
11. A thorough and scientific screening of the participants should be done before
selecting employees for training so that the right type of personnel are selected for
the right type of training.
12. The development oriented PAS should be integrated with the entire HRM system
of the organization. The appraisal data should be used not only for promotion
decisions but also identification of staff training needs, job placements, job
enrichment and enlargement, talent spotting and career planning.
13. garments managers should be prepared to manage the people so that right type
of data can be used in the computer at the right time. Commitment of all the section
of employees to computerization should be evolved to cover various sections of
employees. The executives and administrators must make use of Computer Based
Management Information System(CBMIS) to enhance the quality of their
decisions.
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14. New manual for computer audit should be prepared and the access to software,
kind of access and the risks involved are required to be assessed periodically, so
that of computerized branches serve the purpose of an audit and does not become
a routine.
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