HRM Rakib

Human Recourse Management Practices in Garments
Industries and its Impact: An analysis on some selected

Garments.
Md.Nayeem Hasan
Md.Rakibul Hasan
S.M.Shahabuddin
ACKNOWLEDGEMENT
Before the going to discussion, our team is very grateful to Almighty Allah for the hard work,
dedication, team effort and patience we put to finish our project work on time. The team would
like to thank the employees and employers of Esquair Knit CompositUnit-01; Opex
Group Dyeing department; & Kown- pong Appearls who had helped us a lot by providing
necessary information to complete the project successfully. Their co-operation helped and
supported us a lot and without it we could not complete the project properly. Also thanks to our
all team members as devoted their full support and assistance to the project work. Finally, we
are very thankful to our course teacher Md. Mourtuza Ahamed who inspired and suggested
us to do the project, and helped us in every possible way. The team is very thankful to his and
honors to have Md. Mourtuza Ahamed as an instructor.
TABLE OF CONTENTS
CONTENTS:
Abstract
PAGE NUMBER:
02
A Brief Introduction
02
Purposes of the Study
03
Hypothesis of the study
03
Methodology of the Study
03
Tabulation Sheet & Hypothesis
04
Data Analysis
05-10
Analysis & Findings
10-11
Table Recommendation &Conclusion 11-12

References
12
ABSTRACT
The aim of this study is to explore the impact of HR practices on garments sector in the context of
Bangladesh. A total of 30 responses from 3 ready-made garments were collected and analyzed
objectively. It was mentioned that HR practices have significant association with other related
factors such as- Human Resource Planning (HRP), Training and Development (TND), work
environment etc. Researchers, Academicians, policy-makers, practitioners, students, local and
foreign entrepreneurs of Bangladesh and other similar developing countries could benefit from this
paper by exploring the association between HR practices and its application.
Key words: HRM, HR Practices, Ready-made garments Industry (RMG), HRM

Policy, Management, Bangladesh and developing country.
A BRIEF INTRODUCTION
In our countries point of view, human resource is a nations prime asset, a companys prime asset,
an organizations prime asset. Nowhere is this truer than in Bangladesh, due to its large population
size and high population density. 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 (Dessler, 2007). The impact
of human resource management (HRM) practices popularly known as HR practices on
organizational performance and employee attitudes has been a leading area of research in the
developed world for years The RMG industry of Bangladesh has expanded dramatically over the
last three decades. . Traditionally, the jute industry dominated the industrial sector of the country
until the 1970s. Since the early 1980s, the RMG industry has emerged as an important player in
the economy of the country. Here is notify that, huge human resource is one of main reason to
expand garments industry in our country.
PURPOSES OF THE STUDY

In this study the main purpose is to identify the impact of HR practice on garments industries. In
order to explain these objectives, the following objectives are considered--Main Objectives:
1. To identify the impact of HR practice in garments industries; &
2. To guide some measures in order to enhance the HR practices in garments sector.
Specific Objectives:
1. To conform that, the Recruitment & Selection Process is Standard or not;
2. To measure the extrinsic or intrinsic facilities of garments;
3. To define scope of career development & job security;
4. To justify what extent garments comply with compliance aspect;&
5. To the practice of Office Utility Management is present or not.
HYPOTHESIS OF THE STUDY

The following important hypothesis must be consider in this study
1
H1: Recruitment and selection process in the Garments Industry is standard;

Ho: Career and Succession planning Culture is not sufficient in Garments industry;
11
Ha: Employee turnover in the Garments Industry is frequent;
13
H1: The Leave Policy in the Garments Industry is not so frequent; and
16
H0: The working hour is flexible in the selected Garments Industry.
7
METHODOLOGY OF THE STUDY

The study was compiled with the help of primary data and secondary data. These primary and
secondary sources are:
Primary source:
Primary data was collected through direct personal interview by means of the questionnaire from
some selected Garments Industries in Bangladesh. And for this purpose a Five Points Likerts
Scale questionnaire has been used. Response has been collected from 30 respondents about the
Human Resource Management practices in their organizations.
Secondary Source:
Information has also been collected from secondary sources along with primary sources. The
researcher group has collected information from various Business magazines and journals,
Articles, Publications and Books also. Moreover, the desk study covered various published and
unpublished materials on the subject.
TABULATION SHEET
Seri
al
no.
01
.
02
.
03
.
04
.
05
.
06
.
07
.
08
.
09
.
10
.
11
.
12
.
13
.
14
.
15
.
16
.
17
.
18
.
Number Of Respondents
Variable
Tota
l
resp
ond
ents
Weighted
avera
ge
Ran
k
Stand
ard
Z Test
(calculat
ed
value)
Strong
ly
disagr
ee
Disag
ree
Recruitment
and
selection process is
standard
Organization follow
the
chain
of
command
Monetary
rewards,
incentive pay are
presented
Non-monetary
rewards,
career
development present
Organization
lacks
compliance aspects
00
01 08
19 02
30
3.7
3
01
.63
6.35
02
03 11
07 07
30
3.4
7
03
1.0
8
2.57
03
11 03
12 01
30
2.9
0
07
1.1
4
- .48
05
14 06
05 00
30
2.3
7
16
.17
-3.66
00
05 07
17 01
30
02
.81
3.18
Assessment
and
performance
appraisal system is
used
Organization follows
career
and
succession planning
Availability
of
corporate rules and
regulations
Availability of health
and medical facilities
00
10 07
11 02
30
3.4
7
3.1
7
04
.97
.94
01
11 13
05 00
30
2.7
3
13
.77
-1.89
05
04 06
08 07
30
3.0
0
06
1.3
9
04
08 04
13 01
30
08
follow
02
09 05
14 00
30
Frequency
of
employee turnover
03
13 06
05 03
30
Availability of food
and
conveyance
allowances
Organization follow
the standard leave
policy
Organization practice
office
utility
management
Availability
of
transport facilities
07
04 08
10 01
30
1.1
7
1.0
2
1.1
5
1.2
0
- .16
Organization
labor law
2.9
7
3.0
3
2.7
3
2.7
7
08
05 07
09 00
29
2.5
5
15
1.1
6
-2.07
03
08 08
10 00
29
2.7
9
09
.99
-1.12
03
12 04
10 00
29
14
10
11 05
03 01
30
Organization follow
high job security
09
08 07
05 01
30
Existence
of
standard promotion
policy
02
13 10
01 04
30
1.0
5
1.0
9
1.1
7
1.0
9
-1.78
Existence of flexible
working hours
2.6
6
2.1
3
2.3
7
2.7
3
Neutra
l
Agre
e
Strong
ly
agree
05
12
10
18
17
11
Devia
tion
Z Test
(critical
value)
1.9
6
1.9
6
1.9
6
1.9
6
1.9
6
1.9
6
1.9
6
1.9
6
1.9
6
1.9
6
1.9
6
1.9
6
1.9
6
1.9
6
1.9
6
1.9
6
1.9
6
1.9
6
.18
-1.27
-1.06
-4.38
-2.97
-1.34
DATA ANALYSIS
To analysis the data the following hypothesis is highlighted in the following forms-Hypothesis 01- The Recruitment & Selection Process is Standard.
Here, Ho= The Recruitment & Selection Process is not Standard
H1= The Recruitment & Selection Process is Standard
From total of our selected respondent, 63.33% are agreed with this statement.
By calculation schedule it is found that, calculated Z value is 6.35 and critical Z value is 1.96. Here,
calculated Z value (6.35) is higher than critical Z value (1.96).
So it is surely affirmed that, Ho is rejected and H1 is accepted.
Hypothesis 02- Organization follows Chain of Command
Here, Ho= Organization does not follow Chain of Command;
H1= Organization follow Chain of Command
From total of our selected respondent, 36.67% are Neutral with this statement.
Hypothesis 03- Extrinsic or Monetary Rewards, Findings from Base Pay, Additional Pay, Incentive
Pay and Welfare & Benefit are presented
Here, Ho= Extrinsic or Monetary Rewards, Findings from Base Pay, Additional Pay, Incentive Pay
and Welfare & Benefit are not presented.
H1= Extrinsic or Monetary Rewards, Findings from Base Pay, Additional Pay, Incentive Pay
and Welfare & Benefit are presented
From total of our selected respondent, 40% are agreeing with this statement.
By calculation schedule it is found that, calculated Z value is -0.48 and critical Z value is 1.96.
Here, calculated Z value (-0.48) is lower than critical Z value (1.96).
So it is surely affirmed that, Ho is accepted and H1 is rejected.
Hypothesis 04-Intrinsic or Non-Monetary Rewards, Career Development, Recognition, Work

Environment, Job Security are presented
Here, Ho= Intrinsic or Non-Monetary Rewards, Career Development, Recognition, Work
Environment, Job Security are not presented.
H1= Intrinsic or Non-Monetary Rewards, Career Development, Recognition, Work
Environment, Job Security are presented.
From total of our selected respondent, 46.67% are disagreeing with this statement.
Hypothesis 05- The organization lacks compliance aspects. As a result this has following affects
on the organization
Here, Ho= The organization lacks compliance aspects. As a result this has not following affects on
the organization
H1= The organization lacks compliance aspects. As a result this has following affects on the
organization
From total of our selected respondent, 56.67% are agreeing with this statement.
Hypothesis 06- Assessment and Performance Appraisal System is used
Here, Ho= Assessment and Performance Appraisal System is not used.
H1= Assessment and Performance Appraisal System is used.
calculated Z value (0.94) is lower than critical Z value (1.96).
Hypothesis 07- The Organization Practice Career & Succession Planning

Here, Ho= The Organization does not Practice Career & Succession Planning.
H1= The Organization Practice Career & Succession Planning
From total of our selected respondent, 43.33% are neutral with this statement.
By calculation schedule it is found that, calculated Z value is -1.89and critical Z value is 1.96. Here,
calculated Z value (-1.89) is lower than critical Z value (1.96).
Hypothesis 08- Corporate Rules Regulation & Culture is Available.
Here,
Ho= Corporate Rules Regulation & Culture is not Available.
H1= Corporate Rules Regulation & Culture is Available.
From total of our selected respondent, 26.67% are agreed with these statements.
By calculation schedule it is found that, calculated Z value is 0 and critical Z value is 1.96. Here,
calculated Z value (0) is lower than critical Z value (1.96).
Hypothesis 09- The Organization provides Health & Medical Facilities.
Here, Ho= The Organization does not provide Health & Medical Facilities.
H1= The Organization provide Health & Medical Facilities.
Here, calculated Z value (-0.16) lower than critical value (1.96)
Hypothesis 10- The Organization follows of Labor Law.
Here, Ho= The Organization does not follow of Labor Law.
H1= The Organization follow of Labor Law.
From total of our selected respondent, 46.67%are agreed with this statement.
By calculation schedule it is found that, calculated Z value is 0.18and critical Z value is 1.96. Here,
calculated Z value (0.18) is lower than critical Z value (1.96).
Hypothesis 11- Frequently Employee turnover is happened.
Here, Ho= Frequently Employee turnover is not happened.
H1= Frequently Employee turnover is happened.
From total of our selected respondent, 43.33%are disagreeing with this statement.
By calculation schedule it is found that, calculated Z value is -1.27 and critical Z value is
1.96.here
Calculated Z value (-1.27) lower than critical Z value (1.96).
Hypothesis 12- Food & Conveyance Policy are available.
Here, Ho= Food & Conveyance Policy are not available.
H1= Food & Conveyance Policy are available.
From total of our selected respondent, 33.33% agreed with these statements.
By calculation schedule it is found that, calculated Z value is -1.06and critical Z value is 1.96. Here,
calculated Z value (-1.06) is lower than critical Z value (1.96).
Hypothesis 13- The Organization follows the standard Leave Policy.
Here, Ho= The Organization does not follow the standard Leave Policy.
H1= The Organization follow the standard Leave Policy.
From total of our selected respondent, 30% are agreeing with this statement.
Here, calculated Z value (-2.07)is lower than critical Z value (1.96).
Hypothesis 14- The Organization practice Office Utility Management.

Here, Ho= The Organization does not practice Office Utility Management.
H1= The Organization practice Office Utility Management.
Hypothesis 15- There is a Policy Regarding Use of Transport.
Here, Ho= There is not a Policy Regarding Use of Transport.
H1= There is a Policy Regarding Use of Transport.
From total of our selected respondent, 40% are disagreed with these statements.
Hypothesis 16- Flexible Working Hours system is present.
Here, Ho= Flexible Working Hours system is not present.
H1= Flexible Working Hours system is present.
From total of our selected respondent, 36.67%are disagreeing this statement.
Hypothesis 17- The Organization follows high job security.
Here, Ho= The Organization does not follow high job security.
H1= The Organization follow high job security.

From total of our selected respondent, 26.67% strongly agreed with these statements.
Hypothesis 18- There is a standard Promotion policy.
Here, Ho= There is not a standard Promotion policy.
H1= There is a standard Promotion policy.
Here, calculated Z value (-1.34) is lower than critical Z value (1.96)
ANALYSIS & FINDINGS

Following are the required findings of the study from the mathematical analysis on the basis of
following five scale likerts scales:
The recruitment and selection process is good. It includes that the selection and
recruitment systems available in the organization is standard.
Organization follows chain of command, i.e., the organizations employees follows their
boss.
Extrinsic or Monetary Rewards, findings from base pay, Additional pay, and incentive pay,
and welfare and benefit are presented which will motivate the employees performance.
Intrinsic or Non-Monetary Rewards, Career development, Recognition, Work environment

job security are not presented, i.e., there is a lack of non-monetary benefits which may
affect the employee performance. So the organization should perform some non-monetary
benefit.
The organization lacks compliance aspects. As a result this has following aspects on the
organization.
10
Assessment and performance appraisal system is not used. For this reason the overall
performance of the employees is not evaluated in the organization properly. So the
organization should emerge some of appraisal system as well.
The organization does not practice Career and Succession Planning, i.e., there is a lack
of some further directions, training for the development of the employees.
Corporate rules regulation and culture is not available. So the organization should
practice those types of rules and culture.
The Organization does not provide Health and Medical Facilities which may cause the
mental and physical disturbance of the employees.
The Organization is does not compliance with Labor Law.
Frequently employee turnover is not happened for which the organization performance is
approximately stable.
Food and food conveyance policy is not available. That there is a lacking of food or any
food conveyance.
The Organization follows the Standard Leave Policy. That means the organization follows
the leave policy in compliance with the labor law.
The organization does not practice Office Utility Management.
There is no transport system in this organization. So the organizations employee faces

some of hazards in transportation system.
Flexible Working Hours system is not present.
The Organization does not follow high Job Security.
There is a lacking of standard Promotion Policy, i.e., the promotion policy is not standard.
RECOMMENDATION & CONCLUSION

This study set out to analyze the impact of HR practices on garment industry in Bangladesh. The
paper sought to identify present scenery of HR practice on garments industry. The garments
industry is the only multi-billion-dollar manufacturing and export industry in Bangladesh. Whereas
the industry contributed only 0.001 per cent to the countrys 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 in2005, which was about 2.5 per cent of the global total value ($276
11
billion) of garment exports. The countrys garments industry grew by more than 15 per cent per
annum on average during the last 15 years Bangladesh needs to improve the factory working
environment and various social issues related to garments industry. International buyers are very
much cognizant about compliance aspects with codes of conduct. The Government of Bangladesh
should take various initiatives to strengthen its support. The development of the port and other
physical infrastructure, the smooth supply of utilities, a corruption-free business environment and
political stability are some priority concerns for the Government to consider in its efforts to
magnetize international buyers and investors.
On the basis this study some recommendations are given below--
Organization should give extra emphasize on employees promote;
Take initiative for tumbling employee turnover by stirring them;
Organization should acknowledged a policy for food and conveyance;&
Garments industry should follow HR planning and forecast future needs of employee.
Reference:
Books & Journal:
Mainuddin, Khandaker (2000). Case of the Garment Industry of Dhaka, Bangladesh, Urban and Local Government
Background Series, No. 6 (Washington, D.C., World Bank).
A k h t e r, N., Human resource management in Bangladesh: A study of some local private manufacturing industries.
Unpublished doctoral Thesis, University of Dhaka, Bangladesh, 2002
Cynthia D. Fisher, Lyle F. Schoenfeldt, James B. Shaw Human Resource Management, 6 th Edition
Aswathappa, K., Human resource management: Text and cases. Delhi: Tata McGraw-Hill Publishing Company Limited,
2008
T z a f r i r, S. S., A universalistic perspective for explaining the relationship between HRM practices and firm
performance at different points in time. Journal of Managerial Psychology, Vol. 21, No.2, pp. 109-130, 2006.
D e l a n e y , J. T., H u s e l i d , M. A., The impact of human resource management practices on perceptions of
organizational performance The Academy of Management Journal, Vol.3, No.4, pp. 949-969, 1996.
Some information from General of selected three garments.
Ahmed, F. E. (2004). The Rise of the Bangladesh Garment Industry. NWSA Journal, 16.2, 34-45.
Bangladesh Garment Manufacturers and Exporters Association (BGMEA) Government recognized trade body of
garment factories of Bangladesh, <www.bangladesh garments.info>, accessed during the period 2007-2009
Web Address: www.wikipidia.
12
---THE END---
13

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HRM Rakib

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Human Recourse Management Practices in Garments

Industries and its Impact: An analysis on some selected

Purposes of the Study

Hypothesis of the study

Methodology of the Study

Tabulation Sheet & Hypothesis

Analysis & Findings

Table Recommendation &Conclusion 11-12

Key words: HRM, HR Practices, Ready-made garments Industry (RMG), HRM

PURPOSES OF THE STUDY

HYPOTHESIS OF THE STUDY

H1: Recruitment and selection process in the Garments Industry is standard;

METHODOLOGY OF THE STUDY

Hypothesis 04-Intrinsic or Non-Monetary Rewards, Career Development, Recognition, Work

Hypothesis 07- The Organization Practice Career & Succession Planning

So it is surely affirmed that, Ho is rejected and H1 is accepted.

Hypothesis 14- The Organization practice Office Utility Management.

H1= The Organization follow high job security.

ANALYSIS & FINDINGS

Intrinsic or Non-Monetary Rewards, Career development, Recognition, Work environment

The Organization is does not compliance with Labor Law.

The organization does not practice Office Utility Management.

There is no transport system in this organization. So the organizations employee faces

Flexible Working Hours system is not present.

The Organization does not follow high Job Security.

RECOMMENDATION & CONCLUSION

Organization should give extra emphasize on employees promote;

Take initiative for tumbling employee turnover by stirring them;

Organization should acknowledged a policy for food and conveyance;&

Web Address: www.wikipidia.

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