Acknowledgement

It is my great pleasure to express my deepest gratitude and humble submission to the almighty
Allah but for whose support I would not be able to complete a huge task of preparing this
Internship Report within the scheduled time.

I would like to take the opportunity to express my gratitude to my Internship Advisor, Professor
Dr. Swapan Kumar Bala whose sincere direction, guidance and support helped me a lot in
writing this report.

I would like to thank my friends who provide me with vital suggestions for preparing this
Report.

My deepest appreciation and special thanks goes to the A.H.M Kamal, Vice President, HR dept.
of IFIC Bank Ltd. for extending his support and valuable advices in compiling this report. Lastly
I am thankful to the all the personnel of HR department of IFIC Bank, Head Office, Dhaka for
their sincere cooperation.
Abstract:

H uman resource management is one of the major activities carried on by an organization.

With the advent of time the decision making authorities are realizing that to remain
competitive in this dynamic business world, a qualified, efficient workforce is required a
workforce that would not only carry out orders taken by superiors but can be equally efficient in
taking proper decision as the situation demands. To achieve this goal, role of the employee and
employee management process need to go through a great change. Most important of all is EPA
system how the employees are being evaluated for their assigned task. This report is intended
to provide an overview of EPA system with an extensive study on the EPA system of IFIC Bank.

IFIC Bank is one the first-generation commercial banks in Bangladesh. Incorporated in 1976,
this bank has now 108 branches all over the country, with 2 associates IFIC Securities and
Oman International Exchange. This report has shed light on the important features of this Bank
with special emphasize on vision, mission, core values, management structure, human resource
management.

EPA is the formal system of review and evaluation of individual or team task performance. IFIC
Bank has used ACR method for a long time for its EPA. But due to certain limitations of this
method, the Bank has very recently shifted to MBO method. This method is adopted with the
intention to get certain benefits. This method ensures employee participation in every step of
EPA. It provides employee motivation by inflicting on them confidence, belongingness and self
worth.

EPA process using MBO method starts with the setting goal in an interactive way and through
certain distinctive well-defined steps reaches to the end step of Approval by supreme authority.
Employee performance is evaluated on the basis of certain predefined factors and with
comparison to target set.

Implementation of MBO method has some weaknesses that can hider the effectiveness of the
method like lack of qualified personnel, lack of proper training and such. Through this report I
tried to suggest some policy recommendations that might be helpful to cope with the problem
faced.
List of Acronyms:

EPA Employee Performance Appraisal

IFIC Bank International Finance, Investment & Commerce
Bank
MBO Management by Operation
ACR Annual Confidential Report
HR Human Resource
BBA Bachelor of Business Administration
CEO Chief Executive Officer
MD Managing Director
DMD Deputy Managing Director
BAMLCO Branch Anti-Money Laundering Compliance
ATM Automated Teller Machine
 Table of Contents:

Title Page no.

1.0 Introduction

1.1 Background of the study 02

1.2 Statement of the Problem 02
1.3 Objective of the Study 02
1.4 Rationale of the Study 03
1.5 Limitation of the study 03
2.0 Methodology

2.1 Type of Study 05

2.2 Data Collection Procedure 05
2.3 Data Analysis Technique 06
3.0 Overview of IFIC Bank
3.1 Background of IFIC Bank Ltd. 08
3.2 Vision of IFIC Bank Ltd. 08
3.3 Mission of IFIC Bank Ltd. 08
3.4 Goals & Objectives of IFIC Bank Ltd. 09
3.5 Core Values of IFIC Bank Ltd. 09
3.6 Management Structure 10
3.7 Human Resource 13
3.8 Branches & Associates 13
3.9 Technology 14
3.10 Milestones of IFIC Bank 14
4.0 Performance Appraisal :A Conceptual Study

4.1 Definition 17
4.2 Objective of Performance Appraisal 17
4.3 Benefits Of Appraisal 17
4.4 Who conducts the appraisal and When 18
4.5 Data Collection Method 18
4.6 Process of Performance Appraisal 20
4.7 Performance Appraisal Methods 21
5.0 Findings & Analysis

5.1 Authoritative Body for EPA in IFIC Bank Ltd. 25

5.2 EPA Review Committee in IFIC Bank Ltd. 25
5.3 Previous EPA Method-Annual Confidential Report (ACR): 25
5.4 Limitations of ACR 26
5.5 Current Method- MBO Method 27
5.6 Advantages of MBO Method 27
5.7 EPA Process of IFIC Bank Ltd. 28
5.8 EPA Evaluation Process of IFIC Bank Ltd. 43
5.9 Variations in Appraisal Process in IFIC Bank Ltd 46
5.10 Automation in EPA system in IFIC Bank Ltd. 47
5.11 Weaknesses of the existing EPA 48
6.0 Conclusion & Recommendations

6.1 Summary of Major Findings 50

6.2 Policy Recommendations for Improvement of EPA of the Bank 51
6.3 Concluding Remarks 52
References