Introduction

A manual that gives HR policies of an organization along with a wide overview of different HR
procedures such as work force planning, enlisting, pay packages and profits, grooming,
employee governance, etc. is called an HR manual. It is usually fashioned for internal use in the
HR department only. An HR manual ought to result in the succeeding level of justification,
wherever necessary. HR manuals are complete compilations of policies and procedural
corroborations relevant to employees within the organization. The content of these manuals is
not to be interpreted as the policy but it is to be utilized along with the HR policies formulated by
the Department of Human Resource Management. The HR manual of any organization is
formulated to enable the managers and supervisors to accomplish the human resources
obligations meted out to them efficaciously. This is done by supplying parameters and guidance
for making decisions, along with supplying all staff members with user-friendly and
approachable data. HR manuals are usually developed and revised by Human Resources
Departments of various companies.
The HR manual usually deals with the company policies regarding the following areas of
operation. These include ways and categories of hiring support staff and academic staff,
guidelines for fixed-term employment, policies for selection and recruitment, position
descriptions, working hours of main and support staff, guidelines for annual leaves and sick
leaves and other forms of leaves, salary packages for the various positions, guidelines to staff
grievances, etc. Along with these, the other things such manuals deal with are: Selection and
Recruitment, Methods of employment and working hours, Flexibility of employment and
development of staff, Opportunity for equal employment, Superannuation and remuneration,
Leave, Safety and occupational health, Disciplinary procedures and termination of employment,
and other employment related provisions.

1.0 HR Planning
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Human Resource Planning is the process by which an organization ensures

that it has the right number and right kinds of people, at the right places, at
the right time, capable of effectively and efficiently completing those tasks
that will help the organization achieve its overall objectives.
The planning process of SN Apparel Ltd. will involve 2 major
activities:
1) Projecting the possible job openings in future
2) Deciding whether they will be filled by inside or outside candidates
1.0.1 Forecast Demand for Human Resources
To forecast the demand, there are several ways of predicting the future job
openings. We will do trend analysis, ratio analysis and the management
judgment and decisions.
Trend Analysis: It involves studying the companys employment
levels over the past years to predict the future employment
requirements.
Ratio Analysis: It involves forecasting based on the ratio between
some causal factors such as sales volume and the number of
employees required for that performance level). Ratio Analysis can be
of various kinds, such as Productivity ratio, Direct-to-indirect labor ratio
etc.
Management insight and judgment: It will depend purely on the
department how many people they will need. If our activity is
expanded obviously we will need more people.
1.0.2 Forecast Supply of Human Resources
Forecasting supply is nothing but forecasting the Human Resource Inventory.
Human Resource Inventory is a profile of the current status of the human
resources in the company. Such profile helps identify what skills are currently
available in the organization before the management can start considering
new pursuits.
Internal: Human Resource Inventory also helps in other personnel

activities, such as selecting individuals for training, for promotion, and

for transfers. One of the devices used in todays world is the Human
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Resource Information System (HRIS). We will also use it. SN Apparel Ltd
will customize its HRIS program through best possible programmer to
keep a sound record of it.
External: Now HRIS can be applicable if we do internal recruiting.
While doing external recruiting, we will have to forecast the external
supply of market. Here we will consider the labor market, which means
the area from which an employer typically recruits to fill a position.
This area varies according to the type of job being filled. Labor markets
are based on: skills and geography .So SN Apparel Ltd. will consider
both of them.
1.1 HR Recruitment
It is obviously essential for any organization to have properly skilled and
experienced staff to run the organization smoothly and successfully. Right
person in the right place is as critical as other required resources (land,
capital, facilities, etc) for the success of an organization. And this triggers the
necessity for recruiting new employees from time to time. This section of the
manual outlines the process for recruitment.
1.1.1 Authority of Recruitment
As per Company rules, Appointments to the services of the employees
excluding the Managerial post shall be made by the department head with
the consultation of HR department. All other appointments (CEO, Directors of
different departments) shall be made by the Managing Director and
Chairman of the Company.
1.1.2 Recruitment Requirements and Procedures
HR requirement
within the organization is determined as per Manpower
Evaluation/ Manning due to turnover, promotion, retirement, new business
strategy, etc. SN Apparel Ltds philosophy is to retain and develop the in
house talents and hire the best performers in the industry. If there is any
shortage of manpower in any department or when a new project requires
additional staffs, the project director/ or the department head informs HR
department about the vacant positions.
Vacancies are announced at different ways based on the employee needed
for the vacant posts. Such as, in the concerned organization, there are
several categories of workers as follows---

Permanent - who are paid salary and able to avail the leave like earned
leave, casual leave, they will be evaluated based on their performance
and will be considered for promotion, training or termination.
Temporary who do not get monthly salary, rather they get wages per
month on the basis of contract
Casual No work, no pay.
Probationary They are given a specific period to work for the
company which is known as probationary period. After the probationary
period they will be permanent if their performance satisfies the
management. During this period they get salary as per the contract.

1.2 Employee Level

And also different level of employees as follows---

Managing Director

Executive Director

General Manager

Factory Manager

Production
Manager

Accounts Manager

Marketing
manager

Maintenance &
Store

Floor or Section in
charge

Accountant

Marketing Officer

Personal Security

Supervisor

Personal Security

Executive

1.3 Recruitment Process

Recruiting and selection is the process by which organization locates and
attracts individuals to fill job vacancies. Most organizations have a continuing
need to recruit new employees to replace those who leave or are promoted,
4

and to permit organizational growth for recruiting employees both type of

sources (internal and external) are used in our organization.
For Internal Recruiting, the company may either search its Human
Resource Information System, this is the database it maintains containing
the records and qualifications of each employee that can be accessed to
identify ad screen candidates for an internal job opening. They can also go
for Job posting and bidding, posting vacancy notices and maintaining lists of
employees looking for upgraded positions.
For External Recruiting, company will implement any combination of the
sources are advertisements in the leading dailies, employee referrals
educational institutions, professional organizations, public employment
agencies, Internet recruiting, posting it in bdjobs.com and its own company
website.
Recruitment Process of SN Apparel Ltd
Need Identified In Accordance With Area Operating Plan

Need Identified In Accordance With Area Operating Plan

Candidates short-listed according to job Criteria Match
Candidates undertake ability tests
Candidates undertake customer service questionnaire
Candidates are interviewed by Human Resource Panel
Candidates are offered a position dependent on satisfactory
References and medical examinations
Candidate is appointed to probationary staff
Candidate is appraised during the probationary period
Candidate is appointed to the permanent staff

rding and
Do you have what it takes to crave a long, rewa
firm of
successful career in the most creative advertising
Bangladesh???

1.4 Job Advertisement

For announcing vacancies for the employee excluding the managerial level,
company generally publish and post job advertisement in newspapers and
companys website and re-known portals like bdjobs, prothom-alo job etc.
Sometimes, company goes for Job Agencies if job advertisement or internal
sources of candidates (Employee Referrals, Internship Program) does not
meet the expected amount of candidates from select to.
A sample of a job advertisement is provided here.

We are here to take you there

SN
Apparel
SN Apparel Ltd is the leading RMG firm in Bangladesh working for last
ten
years as a means to provide the highest quality creative results that
s

effectively transform visions into branded solutions. SN Apparel Ltd

concentrates on transforming imagination and
concepts into tangible, branded solutions that
exceed expectations and move beyond
potential.
You think you are
ready to join our
We are searching for .
team as a
Management
Trainee under an
attractive
Team
Hard
play
remuneration,
Workin
Multitaski
medical and dental
g
ng
coverage, paid
Resourc
vacation/holiday
eful
and employee
discount.
Proble
m
solving

Communica
tion skill

Fresh
gradu
ate

Flexible
working under
pressure

SN Apparel Ltd is an equal opportunity employer and committed to diversity

and inclusion.

2.0 Job Analysis

Job analysis means critical analysis of a job. And it includes job description
and job specification. The company designs the job description based on its
long experience for the particular employee positioning.
It includes
Job Description:
Job Identification
Job Summary
Relationship Responsibilities and Duties
Authority of Incumbent
Standards of Performance
Working Conditions
Job Specification:
Educations
Experience
Knowledge
Skills
Aptitude
SN Apparel Ltd has attempted to create a segments solution to fit the needs
of different layers of job opportunities within its surroundings.
It is derived from:
Action to be performed.
Skills and knowledge obligatory for that job.
Initially, the company has planned the educational flow to the hierarchy of
job opportunities within its area.
In general, the company has found that non graduates need to be
guided and deployed for the spectrum of jobs provided the basic level.
The high performers in graduate level in business administration and a
subset from the masters level can be used in high end services.
By activity this planning for its internal purposes, SN Apparel Ltd is ensuring
that there is a constant supply of the right human resources to the right
career opportunities and that there is no mismatch between the roles and
the available skill and knowledge sets.

2.1 Job Description & Specification of employees

Job Identification
Job Title: Management Trainee Officer (MTO)
Department: No specific Department
Job Code: 101
Date: 1/12/2010
Prepared By: Recruitment Team
Approved By: HR Manager
Pay Range: BDT12000-15000

Relationships
Reports To: Immediate Supervisors
Supervises: NIL
Works With: Immediate supervisors and co-workers
Outside The Company: Government legislation officers and third
party organizations
Job Summary
The applicant must posses good communication skill in both Bengali and
English. Have a good negotiation skill. The candidate must have good
knowledge on the basic segments of business. Ability to work under
pressure. Must be willing to build or develop his career in the organization.
Responsibilities and Duties
Leadership and motivational skills are vital to success in this role.
It is an advantage in this role to be able to cultivate meaningful
interpersonal relationships.
The creation of a positive and friendly work environment is expected of the
job holder.
The ability to participate naturally and willingly with others is a distinct
advantage.
Influencing and motivational skills are a critical requirement in the role
9

The results of the completed job profile suggest that the competencies
required by the jobholder should include the ability to:
Provide optimum levels of leadership, if required, encouragement, training
and support in order to help others achieve their results and meet their
budgets.
Generally motivate people to give their best results, praising them when
things go well and apprising them of improvements which can and should be
made.
Encourage others to communicate effectively and efficiently at a level that
is understood by all thus developing a culture of participation and
involvement.
Create a network of contacts across various disciplines that provide advice
on what
Resources are available both within and outside the organization.
Focus and drive to achieve targets, budgets and results.
Continually seeks out opportunity, practicing and encouraging a culture of
strategic
excellence.
Be firm and persistent when expressing views and provides thoughts and
ideas to overcome problems once the situation has been properly debated.
Bring a sense of urgency to situations, demonstrate an active approach, be
willing to get involved in order to increase the pace and achieve goals and
objectives.
Authority

Authority to control the workers of specific area

Authority to get access to the documents related with his/her

responsibilities and duties

10

Job Specification
Educational Requirements

BBA/MBA from any reputed university. Major in Finance/Management is

preferable. Candidate should not have any third class or CGPA below
2.80 in the scale of 4.00.
Experience Requirement

N/A
Knowledge Requirements

He must posses good knowledge about the basic organizational

functions.
Skills and Competencies

Verbal and non verbal communication skills in Bengali and English

Computer literacy is must (MS office and internet)

Problem solving and diagnostic skill

Attitudes

Self confident

Politeness

Good interaction

Able to take the work load

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3.0 Selection process

After the recruitment process has been successfully done, the company goes
through the selection procedure. For the upper managerial level (directors of
different functional departments, general manager), the selection process is
quite simple, an informal interview has been taken by the Chairman, M.D,
D.M.D.
For the selection process firstly comes the primary screening, which is done
to match the CVs applied just to fit in the position and the requirements in a
particular department. Secondly, the applicants are invited to sit for an
aptitude written test. Thirdly, the persons, who got the qualifying score in the
test, are next called for an interview session. Based on that score successful
candidate is called for a medical test, which checks the physical fitness of
the applicant according to the job requirements.
Entry level Placement procedure:
SN Apparel Ltd usually conducts its entry level placements through a
standard procedure.
The Selection Procedure consists of a written test.
Those who clear written test will face technical and HR Interview.
The HR Interview is very general to test your temperament. General
questions based on current affairs, general awareness, trends in
construction area etc may be asked.
The technical interview is based on subjects that have already studied
in the applicants curriculum.
Probationary period will be six months.
Selection procedure for Entry level:

12

13

Selection procedure for Experienced Professionals:

SN Apparel Ltd also conducts its experienced professionals
placements through a standard procedure.
They will also face a technical interview is based on applicants
curriculum.
Then in managerial round, a topic will be provided and they have to
make arguments on that particular topic and show logic from their
point of view.

3.1 Selection Test

Employers often use tests and other selection procedures to screen
applicants for hire and employees for promotion. There are many different
types of tests and selection procedures, including cognitive tests, personality
tests, medical examinations, credit checks, and criminal background checks.
We use three different methods for selection process

14

15

3.1.1 A sample Questionnaire for the written test

SN APPAREL LTD
Written exam for management trainee
Full Marks: 10 Time 20mins
Date: 29-10-2010
______________________________________________________________________________
___________________________
Each question contains 1 mark.
1) Name Three popular International Brand of sweater companya)
b)
c)
2) Employees are the most important asset of the organization. (True or
False)
3) HR manual includes HR policies, forms, and procedures that are used
frequently in managing employees in an organization. (True or False)
4)

In which of the following years did the number of graduate student

applications increase the most from that of the previous year?
A. 1985
B. 1986
C. 1988
D. 1990
E. 1991
5) A father is three times as old as his son. After fifteen years the father will
be twice as
Old as his son's age at that time. Hence the father's present age is
A. 36
B. 42
C. 45
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D. 48
E. None of the above
5) If a red house is made from red bricks and a blue house is made from
blue bricks and a pink house is made from pink bricks, what is a
greenhouse made from?
Ans.
6) What would you do if you are in charge of the accounts department,
and you found out that one of your close colleagues was stealing, what
would you do?
Ans.
7) Without using calculator, Divide 30 by half and add ten. What do you
get?
Ans.
8) Take 2 apples from 3 apples. What do you have?
Ans.
10) Write a brief notes what do you know about our company?

17

3.1.2 A sample questionnaire for Personality Test:

I am organized
1

Not so much

Very much

I am playful
1

Not so much

Very much

I am assertive/ speak my mind

1

Not so much

Very much

I am out-going/ socially active

1

Not so much

Very much

I am able to criticize others without feeling uneasy

1
Not so much

6
Very much

When working on an important task with someone, I tend to fill

the dominant role
18

Not so much

Very much

I like arguing as a sport

1

Not so much

6
Very much

3.2 Appointment Letter

After giving the Offer Letter, an Appointment Letter is the next step of interaction between a
company and an employee. For him/her, a Letter of Appointment is a guarantee about the given
job and position in that company. There are various formats available.
A Sample Appointment Letter is as follows--------

HUMAN RESOURCES DEPARTMENT

Ref.: SNA/HRD/HO/2214
4th, 2010
Mr. X
Address: _____________________

Dec

Subject: Appointment Letter

Dear Mr. X,
With reference to your application dated nil and subsequent interviews, we
are pleased to offer your employment as Management Trainee with SN
Apparel Ltd in accordance with the terms and conditions detailed below:
i.
You will be paid a consolidated salary of Tk. 12,000/-(Twelve thousand
only) per month.
ii.
You will be entitled to Contributory Provident Fund at 10% of your
basic salary, with effect from the date of your joining.
iii.
You will also be entitled to the other fringe benefits like bonus,
gratuity, transport loan, insurance and leave fare assistance
19

iv.

v.
vi.
vii.

equivalent to three months basic salary in accordance with the

relevant policies of the company.
You are required to provide one month written notice in the event that
you wish to terminate your employment with Proctor and Gamble or
by surrendering one (1) months basic salary in lieu thereof.
You will be responsible for payment of all taxes on your annual
income, as applicable.
You should be ready to work anywhere in Bangladesh
You will be responsible to work in conformity with the Service Rules
and other regulations of the Company

Duties: You will be required to faithfully carry out such duties, exercise such
powers and comply with such instructions of the company in connection with
its business. During your employment, you will (except when prevented from
doing so by illness, accident or holidays) devote the whole of your time,
attention and skill during this companys business hours, and (insofar, as is
reasonable, having regard to the nature of your appointment) at other times,
when necessary, to the affairs of SNAL, and use your best endeavors to
promote its interest, and, this offer is made on this understanding.
Hours of work: The office hours of the company are as follows:

Sunday to Thursday
Lunch Time

9.00 am to 5.00 pm
1.0 pm to 1.30 pm

Non-competition: Except with written consent of SNAL, you will not during
the course of your employment be directly or indirectly engaged, concerned
or interested in any other trade, business or occupation whatsoever.
Conflict of interest: During your employment, you will not have any
financial interest in or derive any financial or other benefit from contracts or
transactions made by SN Apparel Ltd, with any third party, without disclosing
such interest or benefit to the company and obtaining its approval, thereto.
Confidentiality: You will not, either during the continuance of your
employment of thereafter, use to the detriment or prejudice of P&G, except
20

in the proper course of your duties, divulge to any person any trade secret or
any other confidential information concerning its business or affairs, which
have come to your knowledge during your employment. In the event of
cessation of employment, for whatever reason, you will return to SNAL any
papers, documents, manuals, discs (including floppies or CDs) relative to the
Companys affairs which might be in your possession and acceptance of this
offer constitutes and undertaking that you will not remove or copy any such
information for subsequent use.
Your employment in the Company is subject to:
i.
Your physical fitness, for the determination of which you shall report to
our designated check-up centre in order to undergo the medical tests.
ii.
Your production of original certificates and other relevant documents
for verification and record purpose.
SN Apparel Ltd. Employees Code of Conduct:
On joining your employment, you are required to read and fully comprehend
the SNAL Employees Code of Conduct in its entirely. The Code addresses the
following areas: SNAL Mission, Ethical Standards, Compliance with Laws and
Regulations, Relationship with and responsibilities to SNAL, relation with and
responsibilities to customers, Protection of Business Assets and Information,
Respecting others, Misconduct, Insider Trading and Control.
You are required to adhere to all the requirements detailed in the Code and
sign and date the document in evidence thereof. In subsequent years, the
recruitment is for you to sign at year-end in acknowledgement of your
continuing understanding and adherence to the provisions of the Code.
Agreement Letter:
We shall be pleased to clarify any aspect of the contents of this letter. If the
terms and conditions of the offer as outlined above agreeable to you, please
signify your acceptance by signing, dating and returning to the enclosed
copy of the letter.
It is expected that you will join us on or before June 1st, 2010.
Finally, we would like to wish you well in the intended employment with P&G.
Thanking you,
21

Yours sincerely,
--------------------------------------CEO and Managing Director

I accept and agree to the terms and conditions of employment as

detailed in this letter.
___________________________________
Signature
___________________________________
Date

22

4.0 Employee orientation

The HR department of SN Apparel Ltd. (SNAL) administers ample orientation
programs. The programs provide information regarding work rules and
procedures, organization, general safety requirements, compensation and
benefits, and general company orientation such as history, and training.
SNAL provide orientation guide to all new employees and in the first day of
joining employee has to fill a joining form. SNAL also take around the new
employee to oversee the physical facilities of the company as well to all
departments to orient them with the old employee.
To ensure the smooth induction of a new employee into the organization and
to assist him/ her with the preliminary joining formalities. The objective of
this policy directive is to ensure that employees while joining new in the
organization are provided with an appropriate orientation. It is also the
objective of this policy directive to ensure that orientation is provided in a
consistent and timely fashion across all the new employees and Head of HR
are aware of their orientation responsibilities.
The Head of HR along with MD is responsible for developing and
implementing the Orientation Policy. Head of HR has the full responsibility of
implementing the said policy.
The following provides an outline of orientation activities for employees who
have been newly appointed to SNAL:

Explain the significance of the Contract of Employment

Explain how the company is structured
Explain the duties of the employees position and the requirements of
the job
Provide a brief history and the mission and vision of the company
Provide the name, location and work telephone number of the HR
personnel
Provide information on terms and conditions of employment
Provide information on standards of conduct and ethical behavior
Provide information on maintaining a workplace free from harassment
or discrimination
Provide information pertaining to pay, leave entitlements, medical,
health and employee services
Provide information on workplace programs
Explain employee development and career development opportunities
23

Explain safety and health procedures and emergency preparedness

Ensure that the employee receives a box of visiting cards (if eligible) on
his first day on job
Introduce the new employee to colleagues at the workplace and give a
brief explanation of their roles
Describe the probationary period
Ensure that the employees work station is ready prior to the
employees first day on the job including telephone and computer
connections; (wherever applicable)
Provide information on work procedures relating to the operation and
administration of the workplace including hours of work and
attendance reporting requirements

On the day of the joining, the employee will be given a Joining Docket
which will contain the following:
Welcome Letter
Vision Handbook;
Employee Handbook;
Appointment Letter
Joining Forms
Confidentiality Agreement;
Joining Report; and
Personal Information Form.
On the day of joining of any new employee, the HR Department will open a
Personnel File for the employee. This file will contain all the documents
related to the employee.
4.1 Training & Development
Trainers: Who actually conducts the training depends on the type of training
needed and who will be receiving it. On-the-job training is conducted mostly
by supervisors; off-the-job training, by either in-house personnel or outside
instructors.
4.1.1 Training & Design Principles:
After selecting the employees SN Apparel Ltd. will arrange training and
development program in order to make its employees work in an effective
and efficient manner and thus achieve the objective of the organization.
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Off-the-job training
Formal courses- it can be accomplished either by self-training which
is facilitated by programmed instruction, computer-assisted instruction
and reading and correspondence courses or by others training, as in
formal classrooms and lectures.
Simulation- it presents participants with situations that are similar to
actual job conditions. Its a vestibule method in which trainees learn on
the actual or simulated equipment they will use on the job, but are
actually trained off the job.
On-the-job
Job rotation- job rotation thus provides employee exposure, the
extent of training and long run benefit it provides may be over stand.
Job instruction (JIT): step-by-step process is called job instruction
training.
Assistantship- assistantship involved full time employment and
expose an individual to a wide range of job.
4.1.2 Training Need analysis
Training needs analysis process is a series of activities conducted to identify
problems or other issues in the workplace, and to determine whether training
is an appropriate response.
The needs analysis is usually the first step taken to cause a change. This is
mainly because a needs analysis specifically defines the gap between the
current and the desired individual and organizational performances.

25

4.1.3 Techniques for Determining Specific Training Needs

There are a number of practical methods you can use to gather data about
employees performance. Each works well in given circumstances; therefore,
you must determine which the best be for you. None of these methods can
stand alone. Always use at least two, if for no other reason to validate your
findings. One of those you choose should always be observation.
Observation: In this approach, an employees performance itself is you
source of information. You evaluate a workers performance through firsthand observation and analysis. This is best accomplished by watching the
worker and playing the role of non-participating observer. This means that
you watch and listen and evaluate what you see and hear, but do not get
involved in his work process in any way.
To make this activity more productive, use a checklist to remind you of what
to look for and take notes.
The objective during observations is to identify both the strengths to build on
and the deficiencies to overcome. A key advantage of using direct
observation in the needs analysis is that you gain first-hand knowledge and
understanding of the job being performed and the strengths and weaknesses
of the relevant worker.

26

Interviews The use of interviews in conducting the needs analysis is

strongly urged. The prime value of interview guides is that they ensure the
same types of data from all sources. This allows you to determine whether a
piece of information is one persons opinion, or part of a widespread
perception. Since the interview guide forces you to ask each worker a
number of predetermined questions, you must select those questions that
are essential to what you are trying to learn.
Interviews allow you to meet employees face to face to discuss their
impressions of performance. Because you are in conversation with workers,
you can explore their responses in depth. You can ask or clarification of
comments and for examples of what they mean. In this way, you obtain a full
understanding of their performance deficiencies.
Questionnaires: A questionnaire is a sort of interview on paper. You create
your own questionnaire by writing down all the questions you want
employees to answer for you. Then you mail it to them and await their
responses.
The key advantage of a questionnaire is that you can include every person
from
whom
You want input. Employees can complete the questionnaire when and where
they choose. You need not travel and spend time with all respondents. Every
employee is asked the identical questions, and consequently data is very
easy to compile and analyze.
Questionnaires can be useful in obtaining a big picture of what a large
number of employees think while allowing everyone to feel that they have
had an opportunity to participate in the needs analysis process.
Job Descriptions: Before establishing a job description, a job analysis must
be made. This job analysis involves a thorough study of all responsibilities of
the relevant job. It is company wide in scope and should be detailed to such
a degree that those conducting the training can use the job analysis as a
yardstick for their course content. After the job analysis phase has been
completed, the writing of job description and needs analysis is a relatively
simple task. When an employees job description has been defined, the
trainer can easily tailor his training curriculum to a very close proximity of
what will be expected of the employees.
The Difficulty Analysis: The Job Analysis will focus attention on
enumerating the numerous duties that a worker must perform. On the other
hand, the Difficulty Analysis establishes which of the duties cause the
27

employee the greatest amount of troubles and how this trouble can be
reduced through better training.

4.1.4 Example of the training needs analysis:

28

5.0 Performance Appraisal

There are several appraisal methods among which it will follow the approach,
which will best suit the employees. Appraisal Methods would be:

Output-based Assessment: Management by Objectives (MBO) as a

more common name for this method is a result oriented method that
seeks to measure employee performance by examining the extent to
which predetermined work objectives have been met.
Rating Scales: Ranking consists of listing all employees from highest
to lowest in order of performance. Points may be assigned to indicate
the size of the gap to overcome this drawback.
Essay Methods: In the essay method approach, the appraiser
prepares a written statement about the employee being appraised. The
statement usually concentrates on describing specific strengths and
weaknesses in job performance. It also suggests courses of action to
remedy the identified problem areas. The statement may be written
and edited by the appraiser alone, or it may be composed in
collaboration with the appraisals.
360-Degree Appraisal: The stakeholders may include the relevant
managers, direct and indirect reports, peers, and also customers both
internal and external. In a simpler form (sometimes called upwards
feedback) it may involve merely collecting data from the individuals
subordinates. This latter approach may be particularly useful when an
organization wishes to develop aspects of team working or
management style. In most cases, such feedback is collected
systematically through formally constructed questionnaires.
Management by Objectives (MBO): MBO is a process through which
goals are set collaboratively for the organization as a whole, various
departments and/or sub functions, and each individual member. With
MBO, individuals are evaluated, usually annually, on the basis of how
well they have achieved the results specified by the goals. MBO, or
goal setting, is particularly applicable to no routine jobs, such as those
of managers, project leaders and individual contributors.
Behaviorally Anchored Rating Scales (BARS): BARS attempts to
assess an employees behaviors instead of characteristics. Descriptions
of possible behaviors are matched against those that the employee
most commonly exhibits. The assessment tool contains sets of specific
behaviors that represent gradations of performance used as common
reference points or anchors for rating employees on various job
29

dimensions. Developing a BARS assessment tool is expensive and

time-consuming. It is based on extensive job analysis and the
collection of critical incidents (examples of very good and bad
performance information) for a particular job.
5.1 Scope of Performance Appraisal
Usually, awards and bonuses based on overall company and employee
performance aappraisal is done for both the Services & Managerial
Employees. The half yearly appraisal is more from the point of view of
Identifying Training & Development needs whereas the year-end
appraisal is for Measuring the Performance vis--vis the targets.
The major objectives of performance appraisal are:
Identifying employees for salary increases, promotion, transfer and lay
off or termination of services.
Determining training needs for further improvement in performance.
Motivating employees by indicating their performance levels.
It happens on:
Quarterly Basis: Before confirmation
Half yearly Basis: After confirmation
It helps to:
Align employee objectives to the business goals. Enable strategic
Performance Management through Management by Objectives
(MBO)
Measure and Assess employee performance periodically and
provide feedback and support to achieve quantitative, qualitative
and process targets
Evaluate and track Hi-Performance and achievers based on
Competency driven practices.
Enable Reward and Recognition
Performance Management solution not only helps establish the best
practices in Performance Management, like 360degree appraisal, MBO etc,
but enables reduced Performance Management cycle time without
compromising on the sub-processes which are so critical to HR values, like
work planning conference, work plan establishment, development plans and
30

objective setting, interim review, overall evaluation, detecting performance

deficiencies, tracking, documentation.

5.2 Importance of Performance Appraisal

Performance appraisals are essential for the effective management and
evaluation of staff. Appraisals help develop individuals, improve
organizational performance, and feed into business planning. Formal
performance appraisals are generally conducted annually for all staff in the
organization. His or her line manager appraises each staff member. Directors
are appraised by the CEO, who is appraised by the chairman or company
owners, depending on the size and structure of the organization.
Annual performance appraisals enable management and monitoring of
standards, agreeing expectations and objectives, and delegation of
responsibilities and tasks. Staff performance appraisals also establish
individual training needs and enable organizational training needs
analysis and planning.
Performance appraisals also typically feed into organizational annual
pay and grading reviews, which commonly also coincide with the
business planning for the next trading year.
Performance appraisals generally review each individual's performance
against objectives and standards for the trading year, agreed at the
previous appraisal meeting.
Performance appraisals are also essential for career and succession
planning - for individuals, crucial jobs, and for the organization as a
whole.
Performance appraisals are important for staff motivation, attitude and
behavior development, communicating and aligning individual and
organizational aims, and fostering positive relationships between
management and staff.

31

 Performance appraisals provide a formal, recorded, regular review of

an individual's performance, and a plan for future development.
5.3 Who will do the appraisal?
The employees should be informed and the standards should be clearly
explained to the employee. This will help them to understand their roles and
to know what exactly is expected from them. The standards should also be
communicated to the appraisers or the evaluators and if required, the
standards can also be modified at this stage itself according to the relevant
feedback from the employees or the evaluators.
5.4 Performance Appraisal Process

5.4.1 Measuring the actual Performance

The most difficult part of the Performance appraisal process is measuring the
actual performance of the employees that is the work done by the
employees during the specified period of time. It is a continuous process
which involves monitoring the performance throughout the year. This stage
requires the careful selection of the appropriate techniques of measurement,
taking care that personal bias does not affect the outcome of the process
and providing assistance rather than interfering in an employees work.
5.4.2 Comparing the actual with the desired performance
The actual performance is compared with the desired or the standard
performance. The comparison tells the deviations in the performance of the
employees from the standards set. The result can show the actual
performance being more than the desired performance or, the actual
performance being less than the desired performance depicting a negative
32

deviation in the organizational performance. It includes recalling, evaluating

and analysis of data related to the employees performance.
5.4.3 Discussing Result
The result of the appraisal is communicated and discussed with the
employees on one-to-one basis. The focus of this discussion is on
communication and listening. The results, the problems and the possible
solutions are discussed with the aim of problem solving and reaching
consensus. The feedback should be given with a positive attitude as this can
have an effect on the employees future performance. The purpose of the
meeting should be to solve the problems faced and motivate the employees
to perform better.
5.4.4 Decision Making
The last step of the process is to take decisions, which can be taken either to
improve the performance of the employees, take the required corrective
actions, or the related HR decisions like rewards, promotions, demotions,
transfers etc.

33

34

6.0 Compensation
COMPENSATION
COMPENSATION
FINANCIAL COMPENSATOIN
FINANCIAL COMPENSATOIN
DIRECT PAY
DIRECT PAY
SALARY
SALARY
INCENTIVES
INCENTIVES
MERIT PAY
MERIT PAY
BONUS
BONUS
GRATUITY
GRATUITY
PROVIDENT FUND
PROVIDENT FUND

Indirect FINANCIAL COMPENSATION

Indirect FINANCIAL COMPENSATION
INSURANCE
INSURANCE
VACATION
VACATION
HOLIDAY
HOLIDAY
MEDICAL FACILITIES
MEDICAL FACILITIES

AFTER RETAIRMENT BENEFIT

AFTER RETAIRMENT BENEFIT

6.1 Types of Compensation

There are different types of compensation benefit. Mainly 2 type of
compensation, one is Financial (Direct) and another one is Non- financial
( Indirect ): Financial Benefits
Pay for performance (incentive system) reward employee performance on
the basis of three assumptions
Individual employee and work teams differ in how much it contribute to
the firm not only in what they do but also in how they do it.
Firms overall performance depends to a large degree on the
performance of individuals and groups within in the firms.
To attract, retain and motivate performers and to be fair to all
employees.

35

6.1.1 Direct Pay

Salary: Air Fashion offers different salary packages depends on performance
& experience/seniority for its employee. Thus two employees in the same
position can get different salaries and incentives for their different
performance. These variations occur only in the case of experience
employees.
Basic Salary
Medical Fee
House Rent

Fixed
600-3000 tk
Maximum 40%
Salary

of

the

Basic

The Salary structure of the organization:

Title of the Job
Managing Director (MD)
Executive Director(ED)
General Manager(GM)
Factory Manager
Production Manager
Accounts Manager
Marketing Manager
Floor-in-charge/Section in charge
Accounts Executive
Marketing officer
Supervisor
Cashier
Management Trainee

Salary(Tk)
150000.00
100000.00
70000.00
32000.00
35000.00
32000.00
28000.00
16500.00
16000.00
15000.00
10000.00
80000.00
12000.00

Incentives:
i.
Merit Pay / Increment :Employee may get Merit or Performance
award individually by salary increment once or twice in a year.
ii.
Bonus: Every employee will get incentive (Bonus) for the festival for
Once or twice in a year which is equivalent to one months basic
payment considering employees one year service record which does
not raise the employees basic pay permanently.

36

6.1.2 Indirect Financial Compensation:

i.
Insurance: General insurance is done for all employees. Also,
company gives option to open life insurance for the employees. If any
accidental case occurs then group insurance will cover up the whole
company as well as employees.
ii.
Holiday: 11 days is announced holiday by government.
iii.
Provident Fund: A benefit of Provident fund will be paid to certain
employees whose service record will be at least 10 years for the
company. Employee will get 5% from his or her basic salary and also
same percentage from the Companys equity after a certain period of
service record.
iv.
Gratuity: A benefit of Gratuity is offered to the employee after his or
her retirement in the company. After 25 years of service at the
company or certain ages of the employee, an employee will get
gratuity (monetary benefit) which is One month basic salary for each
year he or she worked in the company.
v.
Transportation Facility: Air fashion provides transportation facility
for all of its officers. Company has 3 micro/mini buses. This buses
starts from the three most important routes where most of the
employees of the company leave.
Leave Provisions
i.
Causal Leave: With the full payment an employee will get 10 days
causal leave. If any employee does not attain this leave within that
year, it will not be added for the next year.
ii.
Earned Leave: If anyone works without any breakage for 1 year,
he/she will earn 1 day leave for every 18 days work. And the total limit
is 20 days. An employee can take this leave yearly. If he takes it for 15
days this year, then he will get 25 days Earned leave next year.
iii.
Sick Leave: With the half payment of the basic an employee will get
leave of 5 days as sick leave. An employee must give an application to
his supervisor for sickness leave. Firstly, these 5 days will be cut from
his causal leave. And, if it is more than 5 days then it will be cut from
his Earned Leave.
iv.
Maternity Leave: A pregnant woman will get 16 weeks leave with the
full payment. 8 weeks prior the birth of child and 8 weeks after the
birth.
v.
Festival leave: With full payment 11 days government leave is given
for all the employees. For any major reason if employees have to work
37

during the holiday, then the company has to give 2 days full payment
and 1 alternative holiday according to the 118(3) law.

General Regulations of Leave

This leave matters will work only when the employees will work minimum for
3 months without any break. In case of maternity it extends to 6 months.
If any employee interested to take leave then they must fill up the
leave form.
without obtaining prior leave from the competent
authority. An employee shall not remain absent himself from duty.
No employee shall overstay against his sanctioned leave, without
obtaining additional leave from competent authority. No Employee who
overstays without obtaining prior permission thereof shall not get
salary for the period of such overstay unless post fact to sanction is
obtained.

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39

7.0 Employee Relations

7.1 Provision Related To Dress Code
There are provisions of Dress Code in the organization, which are known as
Working Dress. Those who are production related are to be worn with
company provided dress. Office related persons are to be dressed according
to company policy (no bright or casual color like red, yellow, green etc.).
Dress Code must be maintained very strictly.
7.2 Code of Conduct
Which has been discouraged by company, is to be maintained. Besides, the
conduct that is defined in the Labor Code -2006 is to be maintained by the
employee of the organization too. Some of the discouraging activities by the
company are as follows---

Insubordination or disobedience to any lawful or reasonable order(s) of

the superior;
Theft, fraud or dishonesty in connection with the Banks business or
property;
Negligence to compliance
Damage to or loss of companys goods or property;
Habitual late attendance, habitual leaving early or returning late from
lunch break;
Absence from duty without permission;
Drunkenness, gambling, riotous or disorderly or indecent behavior or
any act subversive of discipline;
Habitual negligence of duty, or neglect of work;
Breach of Rules, Regulations, Standing Orders or Instructions of the
Company
Improper or non-use of uniforms while on duty;
Falsifying, tampering with, damaging or causing loss of Banks records;

7.3 Provision Related To Working Hours:

Working hours of the employee is defined as 08 hours. The entire employee
has to be engaged in their eight hours job. They have to be engaged in shift
duty. Shifts are known as A Shit, B- Shift and C-Shift. Shifts are being
changed by rotation. Those who are senior are to be engaged in the duty of
General Shift.
40

7.4 Provisions Related To Smoking Policy:

There is a smoking policy in the organization i.e. Smoking is prohibited inside
the factory or offices. The person who is interested in smoking will have to go
in the fixed room. A room, which is adjacent to Gate House, is fixed for
smokers.
7.5 Grievance Procedure:
The company believes in equal and fair treatment, due respect and honor for
fellow colleagues irrespective of job level. Prompt and timely resolution of all
conflict and dissatisfaction among the employees is prerequisite criteria of a
sound and healthy organization. If any employee thinks that he/she is not
treated properly by his/her line Manager while discharging official
responsibilities, he/she is allowed to address the matter in writing to Head of
HR. Head of HR upon receipt the letter arranges a meeting between the two
parties and resolve the matter once for all.
7.6 Trade Union Regulation:
There can be three trade unions at most and one CBA in the company to
ensure the right of the workers. And no party developing is allowed for the
official employees. CBA Agreement is to be maintained in the organization as
per direction of Bangladesh Labor Code-2006.CBA Election is normally
scheduled to arrange whenever the duration of the election (02 yrs) is
finished. Members of Trade Union can participate only in the CBA Elections
7.7 Situation of Disciplinary Actions:
If any employee has found doing any misconduct such as misusing his/her
authority in any kind, monetary or behaviorally, according to the company
policy, she/he must go through the disciplinary procedures as per
Bangladesh Labor Code-2006
7.8 Disciplinary Procedures:
An employee found guilty of misconduct or violation of other rules shall be
go through the following disciplinary procedures--Step-1: If any allegation comes against any employee, s/he shall be
provided with Show Cause Letter. A sample show case letter is as follows---

41

Dated: 07-11-10
To
Mr. X
Sr. Officer- Production
ID No- 30053
SNAL.

Subject: Show Cause, Suspension Pending Enquiry.

Mr. X,
It has been reported that on 17 th instant at about 9.00pm while you were in
B Shift duty, a delivery was made & processed without proper document
under your supervision, which shows your negligence to duty. It is normally
kept a record of every delivery, but record of No- 15 delivery was not kept
accordingly that is an example of unprofessional behavior to your parts too.
Your act is an example of violation of discipline & rules of the company that
amounts to gross misconduct under section 23 of the Bangladesh Labor
Code- 2006.
Under the circumstances, you are hereby asked to explain your conduct
within 07 days of receipt the letter as to why appropriate disciplinary action
will not be taken against you.
Since your act amounts to gross misconduct and your presence in the factory
is detrimental to the interest of the company, you are hereby suspended
pending enquiry.

42

--------------------------Manager-HR & Admin

SNAL
CC:
General Factory Manager
Personal File
Office Copy

43

Step -2: If the answer of the Show Cause is not satisfactory, the letter of
forming enquiry committee on any case shall be issued to the enquiry Officer
to be presented on the enquiry session of the accused employee. And a
sample letter of forming enquiry committee is as follows---

Date: Nov19,2010
To
Mr. X
Enquiry Officer
SNAL.
Sub: Domestic Enquiry.
Mr. Y,
You are hereby advised to conduct Enquiry as the response to the Show
Cause issued to Mr.X (Sr. Officer) of kneet manufacturing unit, dated on 19 th
Nov, 2010 has not been found satisfactory. The enquiry against the charge
brought him will be held on 29th instant (Wednesday) at 11.30 am in the
Conference Hall of the factory.
At the time of conducting enquiry on 29 th Nov, 2010 in the conference hall,
your act will be as an Enquiry Officer. At the enquiry the accused will be
given full opportunity to defend his case.
In case of his failure to appear at the enquiry on the stipulated date & time,
the enquiry will proceed ex- prate.

-------------------------------Manager- HR & Admin

SNAL

44

Step-3: After subsequent enquiry, a Warning Letter shall be issued to the

accused employee to warn him/her. A sample warning letter is as follows---Dated: 29th Nov, 2009
To
Mr. X
Sr. Officer- Production
Card No-30053
SNAL.
Sub: Letter of Warning.
This refers to the Show Cause notice dated 19-11-10 issued to you for
Misconduct (Negligence of duty) and the subsequent domestic enquiry held
into the charge on 29-11-10.
During the proceedings of the said enquiry you were given full opportunities
to defend your case. After careful consideration of the records and findings of
the Enquiry Officer, we have found that the charge of negligence of duty- a
case of misconduct brought against you has been proved sufficiently.
In view of the above facts and circumstances, it would have been justified for
the management in taking severe disciplinary action against you. However,
considering your experience and with a view to giving you an opportunity to
rectify your conduct and performance, it has been decided to let you warn as
a measure of disciplinary action. As such you are hereby warned finally to
refrain from such activities in future.
Please take a final note that, if you are found guilty of such or any other
misconduct in future, we will not hesitate to inflict upon you the extreme
punishment/ drastic action against you.

----------------------------Manager-HR & Admin

SNAL

CC:
General Factory Manager
Office Copy
Personal File
45

Step-4: If the accused employee is found doing the same mistake again, s/he
shall thereby be issued with a suspension letter. A sample suspension letter
is as follows--Dated: Dec 05, 2010
To
Mr. X,
Sr. Officer- Prod,
SNAL.
Sub: Suspension.
This refers to the Show Cause notice dated 19-11-10 issued to you for
Misconduct (Negligence of duty) and the subsequent domestic enquiry held
into the charge on 29-11-09.
During the proceedings of the said enquiry you were given full opportunities
to defend your case. After careful consideration of the records and findings of
the Enquiry Officers, we have found that the charge of negligence of duty- a
case of misconduct brought against you has been proved sufficiently.
We have also scrutinized your past records and did not find any extenuating
circumstances by which the gravity of offence could be reduced. Rather it
was found that you committed the similar types of misconduct on a number
of occasions in the recent past for which you had been verbally asked to be
more careful. Moreover, you were also warned to refrain from such activities
but no improvement has been observed in your conduct.
In view of the above facts and circumstances, we would have been justified
in taking extreme/drastic disciplinary action against you. However, with a
view to giving you the last opportunity to rectify your conduct, it has been
decided to suspend you as a measure of punishment. Accordingly, you are
hereby suspended for 07 days for the period of Dec 5, 2010 to Dec 7, 2010
without any wages.
Please take a final note of warning that, if you are found to be guilty of such
or any other misconduct in future, we would not hesitate to inflict upon you
the extreme punishment, if so warranted by the facts and circumstances of
the case.
Yours truly----------------------------Manager-HR & Admin
46

SNAL
CC:
All Concerned Officials
Step-5: If the accused employee is found doing the same mistake again yet
after the suspension, s/he shall thereby be issued with a dismissal letter.
Dated: Dec 14,2010
To
Mr. X,
Sr. Officer- Prod,
SNAL.
Sub: Dismissal.
This refers to the Show Cause notice dated 19-11-2010 issued to you for
Misconduct (Negligence of duty) under section 23, Bangladesh Labor Code2006 and the subsequent domestic enquiry held into the charge on 29-1109.
During the proceedings of the said enquiry you were given full opportunities
to defend your case. After careful consideration of the records and findings of
the Enquiry Officer, we have found that the charge of Negligence of Duty- a
case of misconduct brought against you has been proved sufficiently.
We have also scrutinized your past records and did not find any extenuating
circumstances by which the gravity of offence could be reduced. Rather it
was found that you committed the similar types of misconduct on a number
of occasions in the recent past for which you had been verbally asked to be
more careful. Moreover, you were also warned to refrain from such activities
but no improvement has been observed in your conduct.
In view of the above facts and circumstances, we have to justify in taking
drastic disciplinary action against you. Accordingly, you are hereby dismissed
from your service w. e.f 14-12-10.

Yours truly----------------------General Manager

SNAL
47

CC:
All Concerned Officials
Personal File

48