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Chapter 1: Introduction 1.1 Origin of the Study All businesses are concerned with earning profit through selling either a product or rendering service. A textile produce tangible product to sell for maximizing their profit. But the most important sector in a textile is the Human Resource Management. Without which an organization cannot perform its functions. And a structural planning process is essential to develop HRM in an organization. Therefore, the Human Resource Practice has an important role to play in the textile sector of Bangladesh. Consequently the study of Human Resource practice in RMG sector in the context of Bangladesh’s developing economy would help in the overall management of balance of payment of the count 1.2 Objective of the Study To acquire knowledge and find the relationship between practical and theoretical background. To evaluate the Human Resource performance of RMG sector. To examine the operational procedure of Textile. To examine various factors and techniques used in HR Planning Process. 1

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Chapter 1: Introduction1.1 Origin of the Study

All businesses are concerned with earning profit through selling either a product or rendering

service. A textile produce tangible product to sell for maximizing their profit. But the most

important sector in a textile is the Human Resource Management. Without which an

organization cannot perform its functions. And a structural planning process is essential to

develop HRM in an organization.

Therefore, the Human Resource Practice has an important role to play in the textile sector of

Bangladesh. Consequently the study of Human Resource practice in RMG sector in the

context of Bangladesh’s developing economy would help in the overall management of

balance of payment of the count

1.2 Objective of the Study

To acquire knowledge and find the relationship between practical and theoretical

background.

To evaluate the Human Resource performance of RMG sector.

To examine the operational procedure of Textile.

To examine various factors and techniques used in HR Planning Process.

To analyze the overall performance of foreign exchange operations of RMG sector.

To find the position of RMG sector with regard to foreign exchange operations

through a comparison with other countries.

1.3 Scope of the Study

This report is prepared as a requirement of the course “Human Resource Management.” We

selected Square Textiles Ltd and COATS Bd Ltd. working on these organizations we came to

know various Kind of HRM practice which are use here. Though they are a textile, they have

proved themselves in the related industry as a major competitor. In this report we have 1

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followed the guidelines provided by the teacher. Here we have tasked not only the HRM

practice but also the marketing, management, finance and operational area of the Company

1.4 Methodology of the Study

This report has been prepared on the basis of surveyed information. For preparing this report I have also got the information from annual report and website of the SQUARE TEXTILE LTD and COATS Bd Ltd.

Sources of data collection:

1.4.1 Primary Sources

Face to face conversation with the respective officers and stuffs of the office.

Surveying with employees of the office.

1.4.2 Secondary Sources

Various publications on textile.

Website of Square Textile Limited.

Different procedure manual published by Square Textile Limited and

COATS Bd Ltd.

1.5 Limitations

Although I have tried to find out the relationship between our theoretical knowledge and

practical implication, I have found some differences between what I learn in theory and what

are practical.

The report was completed under the following constraints

Difficulty in gaining accesses to accounts of the textile.

Without their own employee it is very much difficult to collect relevant

data.

In some cases verifications of data were become tough.

Unavailability of necessary documents.

As the department specified a short span of time, sufficient time could not

spend to make on in-depth study on such an important issue.2

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1.6 Report Preview

This report contains Eight chapters-

Chapter 1 Gives introduction to the report.

Chapter 2 Importance of HRM practice

Chapter 3 RMG in Bangladesh

Chapter 4 provides an overview about the Organizations

Chapter 5 HRM practice in RMG

Chapter 6 Shows the detailed research, the findings & analysis

Chapter 7 Gives suggestions for improvement

Chapter 8 Concludes the report

Chapter 2: Importance of HRM practice3

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2.1 Importance of HR practice

Every success of origination is depending on efficient and effective man power. HR starts

when a man enters in the organization and its end, when he leaves the industry. HR deals

with the human dimension. Success or failure of an industry depends on the effective

coordination of the resources such as money, material, machinery and men. Among these, the

role and operation of men is the most complex. All the activities of an organization are

initiated and completed by the persons who make up the industry. Therefore, people are the

most significant resources of any industry. HRM is known by different names – Personal

management, personal administration, man power management.

The role of human resource management in organization is at counter stage. Managers are

aware that HRM is a function that must play a vital role in the success of organization. It is an

active participant in charting the strategic course an organization must take place to remain

competitive, productive and efficient. Its focal point is people; people are the life blood of the

organization. The uniqueness of HRM lies in its emphases on the people in work setting and

its concerns for the well living and comfort of the human resources in an organization. The

HRM function is much more integrated and strategically involved. HRM and every other

functions must work together to achieve the level of organization. Effectiveness required

competing locally and internationally.

Effective use of HRM can help a company significantly. It will definitely help to

i. Increase productivity and turnover

ii. Improve financial performance

iii. Make them dedicated and loyal towards organization

iv. Employ the skills and the activities of the workforce efficiently.

v. Provide the organization with well trained and well motivated employee.

vi. Increase to the fullest the employee’s job satisfaction.

vii. Develop and maintain quality of work life.

2.2 Job satisfaction

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Jobs satisfaction is defined as an employee’s overall affective state resulting from an

approval of all aspects of his/her job. An employee’s level of satisfaction toward her/his job

varies with specific aspects of the job. These are the nature of the work, pay, promotion, co-

workers and organizational context

Human resources (HR) and other management practices have been changed dramatically in

last four decades due to globalization, privatization/deregulation, competition, and

technological advances. These highly turbulent environmental changes have enforced

organizations to adopt new workplace practices that enhance sustained level of high

performance. In recent years, those practices have taken the attention of both practitioners

and researchers, increasingly being used by Fortune 1000 companies. Those practices or

systems have been conceptualized as high performance workplace practices (also referred in

the related literature as strategic HR priorities, involvement work systems, high-performance

work systems, high-performance organizations, and high-commitment management) that

consist of flat hierarchical structures, job rotation, self-directed teams, participation of

employees in decision-making, horizontal communication channel, skills-based pay systems

In present study, we conceptualized these practices as high performance HR practices. HR

practices have many significant benefits for organizations that have to manage many

challenges to survive and competition. Since these practices can help organizations to have

achieved “higher flexibility, higher product quality, and higher performance while remaining

cost competitive by inducing workers to work harder and using the skills and information of

their employees more effectively through moving decision authorities closer to those who

have the relevant information” . Also, Huselid suggested that a set of HR practices (as he

referred high performance work systems) were related to turnover, accounting profits, and

firm market value.

It has further been proposed that HR practices are not only beneficial for the employers but

also their employees through increased job satisfaction. There are not many studies that

investigate the effects of HR practice on employees’ job satisfaction. However most of those

studies were conducted in USA. One of the rare comparable research on the effect of HR

practice on employee’s job satisfaction for European countries that was conducted by Bauer.

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Bauer found that a higher involvement of employees in HR practice is associated with higher

job satisfaction in his study surveyed 15 European member countries.

It is therefore, essential to explore potential the impacts of HR practice on employee’s job

satisfaction different economic and cultural context.

2.3 Productivity

We focus on productivity as the key outcome. Many studies look at other outcomes such

as worker turnover, absenteeism, worker perceptions, etc. These are useful, but if they

have no effect on productivity then in our view they are second order –generally studies

use them because they have no direct evidence on productivity. HR practice shows great

impact over productivity.

Applying the principles and methods contained herein should help you achieve sound

human resource management practices which can result in increased productivity,

reduced staff turnover, and satisfied employees and managers.

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Chapter 3: RMG in Bangladesh

3.1 AN OVERVIEW OF THE BANGLADESH GARMENTS INDUSTRY

The garment industry is the only multi-billion-dollar manufacturing and export industry in

Bangladesh. Though it took a rather late start i.e., in 1976 but it soon established its

reputation in the world market within a short span of time and became a prominent player in

the economy within a short period of time. Resultantly garment is now one of the main export

items of the country. Besides, enriching the country's economy it has played a very important

role in alleviating unemployment. At present there are more than two thousand one hundred

garment factories in the country employing more than 12 lack labors. 85 percent of the labor

force is women. Once Sri-Lanka was leader in this field in South Asia and India was its

competitor. After a bloody civil war resulting in the quick demise of the garments industry of

Sri-Lanka and India, the international buyers and investors diverted their attention towards

Bangladesh. As a result the garments industry of Bangladesh expanded with unprecedented

success. The role of the RMG sector in our national economy can hardly be over-emphasized.

There has been a steady development in our RMG export field during at least the last decade

and a half but in the last few years it has been unique. The export of RMG recorded an

average growth of 21.53% since 1994-95, which grew to 76.05% by the year 1999. Ready-

made garments help reducing poverty in Bangladesh even if just one step just like at a time.

For example, minimum wages is Taka 5000 ($75) per month, so with this amount, members

can fulfill their basic needs.

The industry has contributed to export earnings, foreign exchange earnings, employment

creation, poverty alleviation and the empowerment of women. The export-quota system and

the availability of cheap labor are the two main reasons behind the success of the industry. In

the 1980s, the RMG industry of Bangladesh was concentrated mainly in manufacturing and

exporting woven products. Since the early 1990s, the knit section of the industry has started

to expand. Shirts, T-shirts, trousers, sweaters and jackets are the main products manufactured

and exported by the industry. Bangladesh exports its RMG products mainly to the United

States of America and the European Union. These two destinations account for more than a

90% share of the country’s total earnings from garment exports. The country has achieved

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some product diversification in both the United States and the European Union. Bangladesh

is currently one of the 12 largest exporters of garments products in U.S.A and U.K. In spite of

this, the real situation does not come in front of the world. That is they are not becoming

influenced like before any more. We can see this by the price level of our garments products

in the world market. The quantity we are exporting is huge but at a very low price. In the

statistics the impact may be huge but the condition of Bangladesh is not improving at that

satisfactory level. Bangladesh has a great comparative advantage in garments products that is

low labor cost. Because of this advantage Bangladesh can produce products more easily than

other countries. But labor is cheap here because people who are related to this sector are from

very poor background. Most of them are unskilled, uneducated. But if some steps are taken to

improve the quality of labor, the proper benefit of this comparative advantage can come out. .

The industry provides employment to about 3 million workers of whom 90% are women.

Two non-market elements have performed a vital function in confirming the garment

industry's continual success; these elements are (a) quotas under Multi- Fiber Arrangement1

(MFA) in the North American market and (b) special market entry to European markets. The

whole procedure is strongly related with the trend of relocation of production.

The garments industry contributed only0.001 per cent to the country’s total export earnings in

1976, its share increased to about 75 per cent of those earnings in 2005. Bangladesh exported

garments worth the equivalent of $6.9 billion in 2005, which was about 2.5 per cent of the

global total value ($276 billion) of garment exports. The country’s RMG industry grew by

more than 15 per cent per annum on average during the last 15 years. The foreign exchange

earnings and employment generation of the RMG sector have been increasing at double-digit

rates from year to year. Some important issues related to the RMG industry of Bangladesh are

noted in table

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Important issues related to the Bangladesh ready-made garments industry

Years Issue

1977-1980 Early period of growth

1982-1983 Boom days

1985 Imposition of quota restriction

1990 Knitwear sector developed significantly

1993-1995 Child labor issue and its solution

2003 Withdrawal of Canadian restriction

2005 Phase out export quota system

Currently, there are more than 4,000 RMG firms in Bangladesh. More than95 percent of

those firms are locally owned with the exception of a few foreign firms located in export

processing zones (Gonzales, 2002). The RMG firms are located mainly in three main cities:

the capital city Dhaka, the port city Chittagong and the industrial city Narayangonj. Garment

companies in Bangladesh form formal or informal groups. The grouping helps to share

manufacturing activities, to diversify risks; horizontal as well as vertical coordination can be

easily found in such group activities.

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Chapter 4: Company Overview

4.1 History of Square Textile Ltd.

Square Textiles Ltd. started its journey by establishing the first unit in 1997. One year later

the second unit was established. Square Textile is a subsidiary company of Square

Group .The Company was incorporated as a public limited company in the year of 1994. The

operation was started in 1997.It was enlisted in Dhaka Stock Exchange & Chittagong Stock

Exchange in 2002. Within a very short time of span the company achieved some significance

success. Square Textile receives Oeko-Tex standard 100 and ISO-9002 certificates in the year

2000. Authorized capital of the company is tk. 1000 million. It’s paid- up capital is tk. 251.90

million. 1,223 employees are working in this organization. The business lines of Square

Textiles Limited are manufacturing and marketing of yarn. The factory is located in

Saradaganj, Kashimpur, Gazipur, Bangladesh. Its office is located at Uttara in Dhaka

4.2 Mission and Goals of Square Textile Ltd.

Mission

The mission statement of Square Textiles Limited is “Our mission is realization of vision

through maximum production of goods and services strictly on ethical and moral standards at

minimum costs to the society ensuring optimum benefits to the shareholders and other

stakeholders.” This mission is envisioned by the concept of business which ensures well 10

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being of the investors, stakeholders, employees and members of the society which will create

new wealth in the form of goods and services.

4.3 History of COATS Bangladesh Ltd .

Coats Bangladesh Ltd, a subsidiary of Coats Ltd UK, is recognized as the most trusted and

recommended thread manufacturer and market leader in supplying of Industrial Sewing

Thread. Perhaps, that is why many of the high street brands prefer as well as recommend to

use Coats Thread.

Coats plc has its roots in the very beginning of the industrial revolution, dated back to the mid

18th century. Coats family established its business in Paisley, Scotland in 1755. In 1896

Clarks, another thread manufacturer, merged with Coats. Originating in Paisley, Scotland,

both Coats and Clark families they are the pioneers of sewing thread and embroidery thread

manufacture in the UK. Coats manufactured sewing and crochet threads, including mercer

crochet, while the Clark family manufactured Anchor embroidery threads. In the 1980's

another large textile group Vantona Viyella merged with Coats and subsequently acquired

Tootal Group another famous UK name.

In its journey of more than 200 years, Coats has established its manufacturing plants in more

than 70 countries and expanded its business operations in over 150 countries, worldwide.

In 1990, Coats expanded its business horizons in Bangladesh and started its operations as

Tootal Thread Bangladesh Ltd. In 1997, a global merger with Coats and Tootal Thread

formed which is presently recognized as Coats Bangladesh Ltd. At present, Coats Bangladesh

Ltd has 2 state-of-the-art Dyeing plants established in Chittagong and Gazipur. With over 800

dedicated employees, Coats Bangladesh is one of finest examples of enriched human

resources.

Coats Bangladesh was the pioneer in achieving the ISO 9002 Certificate in the Textile Sector.

In its continual strive for excellence; Coats Bangladesh has recently achieved the ISO

9001:2000 Certificate. Not only that, Coats has been 'Oeko -Tex' Certified for having Eco

Friendly products.

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Even the 'Best' can be 'Better' -the drive for Coats continues with the focus of strengthening

relationship with the customers ensuring enhanced product quality and valued services with

every upcoming year.

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Chapter 5: HRM practice in RMG

HRM Practices in Bangladesh garments Industry is the potential industry where the growth of

a country depends a lot. In Bangladesh garments industry is also very influential. This

industry is very big in Bangladesh and holds a lot of skilled employees. So Human Resource

Management (HRM) is very much applicable as well as practiced in the garments of

Bangladesh. To compete with the global challenge we have developed a skilled and efficient

workforce. This large employee force is managed totally by the HR department. This HR

department meets all the requirements of the employees from salary to rewards, hiring to

firing employees and other important developing trainings.

In Bangladesh Human resource management (HRM) refers to the policies and practices

involved in carrying out the ‘human resource(HR)’ aspects of a management position

including human resource planning, job analysis, recruitment, selection, orientation,

compensation, performance appraisal, training and development, and labor relations.

5.1 HR Practiced

Recruitment, selection, and on boarding (resourcing)

Organizational design and development

Business transformation and change management

Performance, conduct and behavior management

Manager, labor and employee relations

Human resources (workforce) analysis and workforce personnel data management

5.2 Recruitment and Selection process Recruitment is the process through which the organization seeks applicants for potential

employment. Selection refers to the process by which it attempts to identify applicants with

the necessary knowledge, skills, abilities and other characteristics that will help the company

achieve its goals, companies engaging in different strategies need different types and

numbers of employees. The strategy a company is pursuing will have a direct impact on the

types of employees that it seeks to recruit and selection.

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Source of recruitment

There are two kinds of source used for recruitment .They are

1. External source 

2. Internal source.

Factors Influencing Recruiting Effort

Although every organization engages in recruiting activity some do so to a much larger extent

than others.

Size

Employment condition

The effectiveness of past recruiting effort

Working condition, salary & benefit package

Recruitment Process1. Determining the number of vacant post: First of all, what number of employee is to be

recruited is determined. Generally HRM calls every other department to inform them (HRM)

the number of employee they (other departments) need. When the number is determined

HRM department goes to the next process.

2. Determining the job criteria: Here the HRM department determines the necessary job

criteria discussing with the respective departments. Different jobs require various criteria.

3. Inviting Application: In this step BB invites application from the intended applicants.

Generally HRM department advertises inviting application in the dailies. Applicants full

filling the job criteria can only apply. Applicants send their CV through mail to HRM

department. Besides BB has a CV bank and people interested to work in BB register their CV

there. They also come in consideration in case of recruitment.

4. Scanning Application: HRM department now scans all of the CV and calls a limited

number of applicants for the next step of recruitment. This scanning is done based on various

factors and requirements.

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5. Tender: The HRM department does not take recruitment exam. It calls tender for taking

MCQ test and written exam. The work is given to that bidder who full fills all of the

requirements and bids at the lowest rate.

6. MCQ test: In this step, Applicants have to face a MCQ test. The MCQ question paper is

prepared under strict secrecy. Governor has the power to suggest question. A special coding

system is used to identify the applicants in MCQ test. Applicants passing the MCQ test with

at least a predetermined number are called for the written exam and viva voice.

7. Written exam and viva voice: Here applicants have to go through a written exam and a

viva voice. In the written exam applicants has to write easy, arguments, solve mathematical

problem etc. After that applicants securing a very good number are called for the viva voice

8. Final selection: The number of MCQ test and written exam are summed and averaged.

Applicants with a high average number within 100 serial numbers are finally selected.

5.3 Training and Development program

Training is a process of learning a sequence of programmed behavior. it is application of

knowledge. It gives people an awareness of the rules procedures to guide their behavior. It

attempts to improve their performance on the current job or prepare them for an intended job.

Development is a related process. It covers not only those activities which improve job

performance but also those which bring growth of the personality; help individuals to the

progress towards maturity and actualization of their potential capacities so that they become

not only good employees but better men and women. In organizational terms, it is intended to

equip. Person to earn responsibility and hold greater promotion

Posting and Transfer:

When a fresher enter in the Job he/she has to complete his/her training period successfully and then

he/she is transferred to a branch. The decision of transfer is made by HRM department

A mentionable point is that whenever an employee gets promotion he/she is transferred. Sometimes as

a punishment an employee is also sent to a distant branch. In case of transfer, a certain process is

maintained. Human Resource Department keeps one copy of posting in employee’s personal file and

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the copy of posting order distribute among employee. There is no hard and fast that after a certain

period an employee must be transferred.

Types of method practices in RMG .we discuss that method at bellow:

On the job training

On the job training is a training that shows the employee how to perform the job and allows

him or her to do it under the trainer’s supervision

On the job training is normally given by a senior employee or a manager like senior

merchandiser or a manager. The employee is shown how to perform the job and allowed to

do it under the trainer’s supervision.

Job rotation

Job rotation is a training that requires an individual to learn several different some in a work

unit or department and performer each job for a specified time period.

In job rotation, individuals learn several different jobs within a work unit or department. One

main advantages of job rotation is that it makes flexibilities possible in the department. When

one employee like junior merchandiser absence another merchandiser can easily perform the

job.

Apprenticeship training

Apprenticeship training provides beginning worker with comprehensive training in the

practical and theoretical expect of work required in a highly skilled occupation.

Apprenticeship program combined of the job and classroom training to prepare worker for

more than eight hundred occupation such as computer operator, sewing technician.

5.4 Performance Management

Performance appraisal is the process of assessing employee’s past performance, primarily for

reward, promotion and staff development purposes.

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Performance appraisal is a process that identifies, evaluates and develops employee

performance to meet employee and organizational goals.

Performance Appraisal doesn’t necessarily use to blame or to provide a disciplinary action.

Previous management theories used to view performance appraisal as a stick that

management has introduced to beat people. Performance appraisals are now more clarified

and they concentrate on developing organizational strengths and employee performance.

Purpose of Performance Appraisal

To review past performance

To assess training needs

To help develop individuals

To audit the skills within an organization

To set targets for future performance

To identify potential for promotion

To provide legal & formal justification for employment decision

To diagnose the hidden problems of an organization

Performance Appraisal Process

Who Appraises

• Supervisors

• Subordinates

• Peers

• Clients/customers

• Self appraisal

• 180/360 degree approach

5.5 Employee relation

Employers and employees each have their own sets of needs and values, and successful

relationship between these two sides requires that some sort of balance be struck. This

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balance often takes the form of a psychological contract, an understood agreement between

employer and employees that defines the work relationship. This contract with or without

support of a formal collective bargaining, agreement influence the outcome achieve by each

side.

SQUARE and COATS group the various into three channel categories those are

1. Employee safety

2. Employee health

3. Employee working condition

1. Employee safety

SQUARE provide the employee safety .It ensure the all kinds of job safety such as

insurance of each employee not this it provide insurance to the labor.

2. Employee health

Free medical checkup, provide health card and also provide necessary medical

facilities for each employee.

3. Employee working condition

The working condition of employee is very hygienic

SQUARE is ISO 9001-2000 Certified company

5.6 Job analysis

Job analysis is the procedure for determining the duties and skill requirement of a job and the

kind of person who should be hired for it. The supervisor or HR specialist of normally

collects one of the following types of information

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5.7 Work activities

 First he or she collects information about the job actual work activities such as marketing,

sewing, production. This list also include how, why and when the worker performance each

activity.

Education and qualification

Collects the information about education background and qualification.

Experience

Experience must not be needed for any job in RMG.

5.8 Job Design

Job design is the process of structuring work and designating the specific work activates of an

individual or group of individuals to achieve certain organizational objectives.

The job design can generally be divided into three phases:

1. The specification of individual task.

2. The specification of the method of performing each task

3. The combination of individual tasks into specific job to be assign to individual

Environmental considerations

Social expectations

In designing jobs, the surrounding social expectations must be considered to avoid possible

worker dissatisfaction.

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Workforce availability

Job requirements should be balanced against the availability of the people who are required to

do the work.

Work practices

Work practices are set methods of performing work. These methods may arise from tradition

or the collective wishes of employees.

5.9 Benefits & Rewards:

Garments industry offers a wide number of benefits to its employees. Almost all of them are

applicable as far the government regulation. The benefits usually offered to the employees

are:

Private pension plan

Life and accident insurance

Medical check ups

Nursery and summer camp allowances

Car, parking space and allowances, depending on position

Health plan and routine medical allowance including optical and dental treatment.

Short and long-term disability coverage, as well as life insurance

Development opportunities and career support.

Retirement benefits.

Having rank of a first class gagged officer

Entertainment benefit

Advance training facilities

Promotion

There are two criteria for promotion and they are: Performance and Seniority. There is also

certain ratio use in case of promotion. Sometimes this ration is not maintained if there are

adequate employees able of promotion according to certain criteria. Educational

qualifications are big factor in case of promotion. Employees having higher degree and good

number of training experience is given preference for promotion.

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When an employee is promoted to a higher post, he gets more authority coming with more

responsibility, higher salary and better number of benefits and so on.

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Chapter 6: Findings and analysis

6.1 SWOT ANALYSIS OF RMG SECTOR

SWOT analysis means the analysis of strength, weakness, opportunity and threats for RMG

sector by collecting data from both Square and Coats BD. It is given below

Strength:

Strong workforce(dedicated & loyal employees)

Low labor cost.

Energy at low price.

Easily accessible infrastructure like sea road, railroad, river and air

communication.

Wide ranges port facilities.

Improved GSP advantages under Regional Cumulative.

Looking forward to Duty Free Excess to US, talks are on, and

appear to be on hopeful track.

Adjudication service of the International Center for the Settlement

of Investment Dispute (ICSID) offered.

Excellent Tele-communications network of E-mail, Internet, Fax,

ISD, NWD & Cellular services.

Globally recognized and loyal customers

Weakness:

There are too many departments under the super vision of the general

manager which can cause low productivity due to large span of super

vision.

Employees face too much stress while they are on training as they have

to finish their incomplete job which were not done during training. It

creates double pressure for employees

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Autocratic approach of nearly all the investors.

The country is deficient in creativity.

A small number of manufacturing methods.

Sluggish backward or forward blending procedure.

Time-consuming custom clearance.

Unreliable dependability regarding Delivery/QA/Product knowledge.

Long lead-time

Communication gap created by incomplete knowledge of English.

Lack of marketing tactics.

Subject to natural calamities.

unfavorable work atmosphere

Opportunity:

There are bright opportunities for the Company in the overseas market. If is

can communicate well and capture a significant market portion in the Europe

and USA market

It can get scale of economic.

Huge financial turnover gives them freedom to enhance their business

Chittagong port is going to be handed over to the foreign operator, which will

make the port’s service much faster, it will also reduce lead-time as well as

total cost will be decreased

Threats:

Political instability

Frequently changing of laws and regulation

Economical fluctuation

New competitors

Raw material crisis

Shifting trend from cotton fiber to polyester fiber

Fluctuation in international market price

Global Competition23

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Pest diseases on cotton crop result in low production of cotton lint

Import of cotton

6.2 Job Satisfaction and Productivity:

Job satisfaction occurs because of certain facets. They are followings.

Work itself

Pay

Advancement Opportunities

Supervision

Coworkers etc

Enjoying the work itself is usually the facet most strongly correlated with high levels of

overall job satisfaction. Interesting jobs that provide training, variety, independence, and

control satisfy most employees. In other words, most people prefer work that is challenging

and stimulating to work that is predictable and routine. Moreover, there is an interesting

relationship between salary and job satisfaction as well as job condition. Personality also

plays a role in job satisfaction.

Productivity & performance are the impacts of Job Satisfaction:

There are consequences when employees like their jobs, and there are consequences when

employees dislike their jobs. Managers’ interest in job satisfaction tends to center on its effect

on employee performance. There are large number of studies that have been designed to

assess the impact of job satisfaction on employee performance, OCB (Organizational

Citizenship Behavior), customer satisfaction, absenteeism, turnover, and workplace deviance.

Job satisfaction and Job Performance:

There is a positive relationship between job satisfaction and job performance. Organizations

with more satisfied employees tend to be more effective as well as productive than

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organizations with fewer satisfied employees. Happy workers are not necessarily productive

workers but productivity is likely to lead to satisfaction. It might not be true that a happy

worker is more productive, it might be true that happy organizations are more productive.

Job Satisfaction and Absenteeism:

There is a negative relationship between satisfaction and absenteeism but the correlation is

moderate to weak. Dissatisfied employees are more likely to miss work. Therefore,

satisfaction leads to attendance and dissatisfaction leads to absenteeism.

Job Satisfaction and turnover:

Satisfaction is also negatively related to turnover, but the correlation is stronger than

absenteeism. Labor market conditions, expectation about alternative job opportunities, and

length of tenure with the organization are important constrains on the actual decision to leave

one’s current job. Other factors like pay rises, praise, recognition, rewards, vacation/sick off

leave, promotion also determine the job satisfaction which leads to the chance of turnover.

Job Satisfaction and Workplace Deviance:

Job dissatisfaction predicts many specific behaviors, including unionization attempts,

substance abuse, stealing at work, undue socializing, and tardiness. Researchers argue that

these behaviors are indicators of a broader syndrome that we would term deviant behavior in

the workplace. The key is that if employees do not like their work environment, they will

respond somehow. One worker’s response might be to quite. But another may respond by

taking work time to surf the Internet, taking work supplies for personal use and so on.

6.3 Findings and Analysis of Job satisfaction of employees of RMG sector

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OVERALL, HOW SATISFIED ARE YOU WITH YOUR CURRENT JOB AT RMG SECTOR (SQUARE? COATS BD)?

From this job satisfaction pie graph, we can see that most of the employees (49%) are

satisfied with their job. They are very satisfied about their salary which is 15%. Employees

also feel near to satisfied in flexibility of work hours, physical working and job security field.

There are also a few employees who are very dissatisfied (4%) and dissatisfied (11%) with

the aspects. So, Companies should try to improve this field of job satisfaction for their

employees

WHAT ARE THE THREE MOST IMPORTANT REASONS THAT YOU CONTINUE TO WORK FOR (SQUARE /COATS BD )?

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Chart Description: Employees were asked to provide three answers to this question.

Their first answer is the “Top Answer”, and these numbers add up to 100%. The following two answers were combined as the “Secondary answer”, so secondary answers add up to

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200% (two choices per employee). The entire chart adds up to 300%, representing all three responses.

HOW LIKELY IS IT YOU WILL BE WORKING AT (SQUARE /COATS BD )?

WHAT IS THE BEST THING ABOUT WORKING AT RMG SECTOR (SQUARE /COATS BD )?

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Chart Description: The chart is a compilation of responses to an close-ended question.

If employees provided multiple answers to the questions, only their first response is included

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in the chart. “Other” Includes: Customers (0.7%); Lack of stress (0.6%); “other” others

(1.2%).

Other Notes: “People/co-workers/staff” includes Teamwork (0.7%); “Schedule or schedule

flexibility” combines Flexible schedule (3.4%) and Schedule/hours (5.1%); “Good

boss/management/supervisor” includes Lack of micro-management (1.0%) and I am

recognized and appreciated (0.6%).

WHAT IS THE WORST THING ABOUT WORKING FOR RMG SECTOR (SQUARE /COATS BD)?

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Chart Description: The chart is a compilation of responses to an close-ended question.

If employees provided multiple answers to the questions.

“Other” Includes: Budget issues/lack of funding certainty (1.6%); Negative public

perception (1.6%); Lack of training (1.6%); AMHS specific issues (1.6%); DOT too huge/not

well organized (1.4%); Lack of job security (1.1%); Lack of quality planning (0.8%);

Benefits (0.9%); Location of job (0.7%); Stress (0.6%); Contractor issues (0.6%); Unions

0.5%; “Other” other (3%).

Other Notes: “Hours/Schedule” includes Not enough hours; Seasonality of work; Lack of flexible hours.

IF YOU COULD DO ONE THING TO MAKE RMG SECTOR (SQUARE /COATS BD )MORE EFFECTIVE OVERALL, WHAT WOULD IT BE?

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Chart Description: The chart is a compilation of responses to an close-ended question.

If employees provided multiple answers to the questions, only their first response is included

in the chart.

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“Other” Includes: Improve schedules/schedule flexibility (1.4%); People need to be

more kind/fair to each other (1.2%); Create more advancement opportunities (0.8%); Adhere

to higher quality standards (0.6%); Public Relations (0.6%); More in-house projects (0.5%);

“Other” other (7.3%).

Other Notes: “AMHS Specific” includes comments such as “Improve schedules, fares,

service,” and “Run ships like a business.” “Hire more qualified people” includes comments

such as “Don’t promote based on favoritism.”

Chapter 7: Recommendations

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7.1 Recommendations: 

From the analysis with the organization structure we have seen that its span of

super vision is too large. A number of departments report directly to the

general manager. If the number were less the efficiency and productivity of

the organization might be increased.

Quality control department should remain prompt always. So that it can

maintain a certain level of standard as per the market demand to capture the

foreign market share it should strive more.

Sometimes job responsibility becomes a burden for the employee when he or

she goes for off the job training. Because when he comes back the tasks

which were undone at the time of his absence for training purpose have to be

completed within a short period of time. Sometimes it become a great burden

for the employee as he has to finished his previous and present accumulately.

So HR department should focus on this problematic issues

Sometimes HR do not emphasize enough on the motivation of employee while

they are given training. So employees may not learn the training properly

because of lack of motivation so HR should focus on this issue. Because

according to expectancy theory describe below.

.

Chapter 8: Conclusions

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8.1 Conclusions

The flourishing of any industry requires combined efforts and co-operation from several parties. Social, political and macroeconomic environment play pivotal role in this regard. Though Square Textile is a newly Ventured Company in the respective sector, its growth and expansion is praiseworthy. It’s contributing the country and serving the nation in different ways. If it can up hold it’s much toward advancement, it will be able to set a role model in our country.

The garment industry is the only multi-billion-dollar manufacturing and export industry in Bangladesh. Though it took a rather late start i.e., in 1976 but it soon established its reputation in the world market within a short span of time and became a prominent player in the economy within a short period of time. At present there are more than two thousand one hundred garment factories in the country employing more than 12 lack labors. So the Human Resource Practice has an important role to play in the textile sector of Bangladesh. In this report we will discuss the HRM practice in textile sector. We selected Square Textiles Ltd and COATS Bd Ltd. For our report. Square Textiles Ltd. started its journey by establishing the first unit in 1997. Within a very short time of span the company achieved some significance success. Square Textile receives Oeko-Tex standard 100 and ISO-9002 certificates in the year 2000. Coats Bangladesh Ltd, a subsidiary of Coats Ltd UK, is recognized as the most trusted and recommended thread manufacturer and market leader in supplying of Industrial thread. . Coats family established its business in Paisley, Scotland in 1755. Coats Bangladesh was the pioneer in achieving the ISO 9002 Certificate in the Textile Sector. .

To compete with the global challenge we have to develop a skilled and efficient workforce. . So Human Resource Management (HRM) is very much important. This large employee force is managed totally by the HR department. This HR department meets all the requirements of the employees from salary to rewards, hiring to firing employees and other important developing trainings. In Bangladesh Human resource management (HRM) refers to the policies and practices involved in carrying out the ‘human resource(HR)’ aspects of a management position including human resource planning, job analysis, recruitment, selection, orientation, compensation, performance appraisal, training and development, and labor relations. Recruitment, selection, and on boarding (resourcing),Organizational design and development Business transformation and change management, Performance, conduct and behavior management Manager, labor and employee relations, Human resources (workforce) analysis and workforce personnel data management these are the HR practices of an organization.

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Bibliography:

Human Resource Management-Gary Desslar

Website:

http://textile.squaregroup.com

www.coatsbd.com

www.explorehr.org

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