Professional Documents
Culture Documents
1.1: Introduction:
In an organization Human Resources Management deals with people/ employee at work, where Industrial Relation (IR) is concerned with many problem related to employer- employee, workeremployer, worker- worker, employee- employee relation which is connected with the employment or non employment or the terms of employment on the condition of work of any person. By the maintaining good IR any organization can continue its smooth operation. Fair labor law should be practice in the organization to ensure labor certain rights and interest. Healthy working environment, good grievance procedure, adequate safety and facility can easily established good face of industrial work which is the functions of HRM in an organization. By maintaining good IR within any business enterprise absenteeism and labor turnover can be reduced. Absenteeism and labor turnover has direct impact on production. Absenteeism and labor turnover is important element for achievement of production because the higher absenteeism and labor turnover rate the higher hampering to the production. Hence it needs to be controlled, which is one of the major part and practice of Human Resources Management.
2. To
area(human Resources Department) 3. To review whether or not the theoretical concepts of specification are being applied. 4. To provide some recommendation for development of HR activities.
At first I went to Golden Horizon Limited, East Nasirabad, 53/B Baizid Bostami Road I/A, Chittagong and I discussed with high officials staff to collect data about the HR activities of their organization. I also studied about the different documents, files, reports, forms, sheet etc few days to get information with involvement of related officials with these. I have also used previous data of Labor turnover (2006-2007, 2007-2008, 2008-2009, and 20092010). I studied a few months all of documents. I have note down last four years information (to understand Absenteeism and Labor turnover) and some recent information in the research project. Basically in this research project, I analyzed about the overall HR practice of Golden Horizon Limited, Operational development of HR in garments industry and how to perform HR in this organization? Such as minimization of labor turnover, individual job satisfaction and performance, resolve the conflict among the worker and employee/ staffs, how to evaluate the performance, how to estimate the manpower planning, recruiting etc.
ORGANIZATION PART
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Personnel Officer Accounts Officer Sub -Asstt. Eng. SafetyOfficer Compliance Officer Store Officer
Personnel Officer Sub -Asstt. Eng. AccountsOfficer SafetyOfficer Compliance Officer Store Officer
Personnel Officer Sub -Asstt. Eng. Accounts Officer Compliance Officer SafetyOfficer Store Officer
Personnel Officer Sub -Asstt. Eng. Accounts Officer Safety Officer Compliance Officer Store Officer
Personnel Officer Accounts Officer Sub -Asstt. Eng. Compliance Officer Store Officer SafetyOfficer
Chairman
Managing Director
Head of HR
Manager- HR
Manager Safety
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Asst. Manager ___________________________________________________________________ Personnel Officer Welfare Officer Compliance Officer Safety Officer
Human Resource Management practice in Golden Horizon Limited HR Planning Recruitment Selection
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Orientation Job Analysis Training and Development Performance Appraisal Compensation & Benefits Motivation Conflict management
3.1 HR Planning:
Human Resource planning can be defined as a process by which an organization ensures that it has the right number and kinds of people, at the right place, at the right time, capable of effectively and efficiently completing those tasks that will help the organization achieve its overall objectives or in other words HRP can be defined as planning for the future personnel needs of an organization, taking into account both internal activities and factors in the external environment. It is also a process are forecasting labor demand, analyzing present labor supply, and balancing projected labor demand and supply. HR Planning have purpose as follows: To ensure optimum use of manpower and capitalize on the strength of HR. To forecast future requirements
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To face the challenges the business is facing due to turbulent and hostile environmental forces To face Rapid Technological Changes. To face Organizational Changes. To determine recruitment/induction levels. To know the cost of manpower To assist in productivity bargaining.
Head of HR establishes health-screening standards and categorizes candidates according to these standards. Handicaps and other major physical limitations will be reviewed jointly by HR and to determine the availability of suitable jobs, if any. Age Head of HR establishes minimum age requirements for Company employment in compliance with Bangladesh Labor and Workmen Law. Minimum age requirement for all Bangladesh recruitment categories is 18 years and normal retirement age for all employees is 58 years, unless otherwise mutually agreed to between the employee and the Company. Employment offers to candidates age 58 or older require the approval of the concerned Business Head. Education Director is responsible for establishing minimum educational requirements for the Company. Exceptions Exceptions to this policy require endorsement by the Head of HR with concurrence of the MD. Unless noted otherwise, exceptions must have the prior approval of the MD and Head of HR.
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Development of manpower is the basic objective in organizations Personnel Policy. Golden Horizon Limited Garments believes in promotion of continuous growth and sustenance of knowledge, skill and proper aptitudes. The organization encourages free flow of information and effective free and congenial upward communication to create amongst the employees the sense of participation, innovation and creativity to proceed ahead through the challenges of global/local competition in the present scenario. Golden Horizon Limited Garments believes in culture of corporate family therefore the organization does everything to build a sense of pride and belonging amongst employees. The organization aims at building up living standards for the employees by improving quality of life on the work front and the family front as well. Golden Horizon Limited Garments strongly believes in friendly and harmonious human relationship with mutual understanding and in maintaining healthy industrial relations.
Process Forecasting future manpower requirements either in terms of mathematical projections of trends in the economy and development in the industry or of judgmental estimates based upon specific future plans. Inventorying present manpower resources and analyzing the degree to which these resources are employed optimally. Anticipating manpower problems by projecting present resources into the future and comparing them with the forecast requirements to determine their adequacy both quantitatively and qualitatively. (Golden Horizon Limited uses a sheet) 16
Planning the necessary program of recruitment, selection, training and development, motivation and compensation so that future manpower requirements will be meet. Step 1: Defining and Documenting the Corporate Objectives of Golden Horizon Limited Garments. Step 2: Articulation and documentation of Job requirements, What all is to be done this question needs to be clearly answered. This step would enable to compartmentalize the jobs and various departments, which need to operate and need for a Departmental Head, can be established, who would be responsible for all the activities of the said department. For existing units the departmental head needs to document the functions of his department. Step 3: Job Descriptions to be documented. A standard job description format has been prepared by concern person whom is to be circulated to all the departmental heads by the Human Resources, who in turn, would ask the actual jobholder to write down all his activities. The department head would authorize the same and send it to HR for further actions. If the unit is new and the activities are not being carried out the department head in consultation with a HR representative will have to document the proposed job descriptions. Here, the accuracy of job descriptions would be based on the experience of the department head. Step 4: After Job descriptions have been documented the next step is to document the job specifications. Job specifications would indicate minimum acceptable qualification the incumbent must possess to perform the job successfully. A standard job specification format has been prepared by concern person for use by the HR at Golden Horizon Limited Garments. Step 5: The next stage would be to crystallize the departments organization structure. The job description and the specifications documented would be aids to structure the department. One would know and be clear about jobs to be carried out and what levels of people to engage. A standard Organization Structure format has been prepared by concern HR person whom is to be followed at Golden Horizon Limited Garments. Step 6: 17
The Department Organization Structure to be approved by Head of the Business or the process owners and linked to the organization structure of the company. Concern HR person has carried out this exercise for defining the Organization structure. Any changes to the existing structure must be approved in the manner specified above. Step 7: The next stage in Manpower Planning would call for taking in the stock of existing manpower and the skills available in the organization. Technically, this is referred to as Skills Inventory of Human Resources. A standard Human Resource skill inventory format to be prepared by HR. Step 8: Additional or Surplus Manpower to be identified and future projections to be made. Step 9: Budgets to be prepared for additional expenses. Step 10: Manpower Plans to be prepared. HR to prepare the plans and the views of respective department heads to be taken into account. Step 11: The Manpower Plan to be approved by respective Department Heads and finally by Director. Step 12: DGM (Administration & Personnel) to initiate steps such as Recruitment, Selections, Transfers, Redeployment, etc. to meet Manpower requirements. Moreover because of competitive market, Golden Horizon Limited considers work-study techniques (employee/office) to complete buyers rush order. These techniques are more suitable where the volume of work is easily measurable. Under this approach, total production and activities in terms of all units are estimated in a year. Man-hours required to produce/perform each unit is calculated. Work ability of each employee/worker is estimated in terms of man-hours after giving due weight age to absenteeism, rest etc. Then the required number of employees is calculated. After an order comes from the buyer and before it goes for production, planning control and work-study analysis should be done:
Example given by production manager of unit: 2
Order
50000 Jeans
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2 3 4 5
Standard man hour needed to produce 1.2 hour each unit Plan for man hour needed (52 working days) Number of man required 40000 hour shift/day) 96 employees/worker(40000 416 If order has to dispatch in 2 months 416 working hour (52 working hour 8 hour
Work-study analysis enables an export manufacturing organization (Golden Horizon Limited) to know the exact details of the number of employees required to complete the task.
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Skill
Knowledge
Aptitude
Specialization
Age
Number
Supply
4. Present inventory 5. Additions: Permanent total i. New hires ii. iii. Promotions in Transfers in
Demotions in Permanent partial Temporary: Deputation in Loss: Permanent total 6.i. Voluntary quits ii. Deaths iii. Dismissals iv. Retirements v. Promotions out vi. Transfers out vii. Demotions out Temporary: Absenteeism Deputations out 7. Future net supply
New Recruitments
8. Deficit/ Needed Additions 9. Surplus/Redeployment 10. Net Additional Human Resources Required
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3.2: Recruitment:
Recruitment is the process of attracting a large number of qualified applicants who will take job if it is offered. It should also provide information so that, unqualified applicants can self-select themselves out of ob candidacy. Golden Horizon Limited follows a good recruitment program that attracts the qualified. This dual objective will minimize the cost of processing unqualified candidates for the company. Golden Horizon Limited goes for both internal & external recruitment sources. Golden Horizon Limiteds recruitment policy is to recruit right person in right place impartially without any discrimination in case of gender, religion, status etc.
Head of HR and the MD are responsible for developing and implementing recruiting programs which comply with the Labor and Workmen Law. Personnel Requisition Process: Manpower requisition within the budget to be given to the HR department with the approval from the plant level authority. HR department starts immediately the recruitment process after receipt of the approved requisition. For the worker level an advertisement is given to the outside of the companys campus, gate sources, in-charge, electricians etc. officers level advertisement is given through news paper, poster or any other media. After receiving applications from the applicants/ candidates the Management selects some qualified candidates and sent initial interview card to the qualified candidates only.
Recruitment committee members are as follows: DGM (Admin & Personnel) G.M HR Manager HR Respective departmental head The decision of the recruitment committee is treated as final and no request from any corner is entertained. The recruitment committee examines the paper and documents, references and others of the candidates.
3.2.2: De-Recruitment:
Golden Horizon Limited also takes the downsizing process when any oversupply of employment observed. Golden Horizon Limited maintains skills banks to find the internal candidates because employees specific skills are included here. And they also prefer succession planning. 22
3.3: Selection:
Selection is the process to select the best candidate among the applicants for particular job. It is the function through which the right is found out for the right job.
Permanent job offer For the general labor the selection processes as below: Trial card Primary selection Employment test (if required) Comprehensive interview Selected Final approval for appointment This way Golden Horizon Limited selects qualified labor to minimize the selection cost and also to avoid the cost of training and also to reject error for upward jobholder.
The panel will give their recommendations. An Interview Evaluation Sheet shall be filled for all the persons short-listed. The panel will take final decision after the interviews are over, on the basis of the Interview Evaluation Sheet. In case a candidate is selected, the MD directly or on the recommendations of panel will give the approval, on the Interview Evaluation Sheet. The HR Department will conduct a minimum of two Reference Checks and record the feedback in the specified format. The offer of employment is subject to receipt of satisfactory references.
Policy to ensure internal parity in terms of compensation and benefits to be offered to the selected candidate. Salary Fitment would be based on internal comparisons and job value. The MD will approve the Fitment Sheet.
3.3.5: Appointment:
At the time of joining the employee will receive the Appointment Letter, which will include details of his Terms and Conditions for employment.
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3.4: Orientation:
Orientation covers the activities involved in introducing a new employee to the organization and to his or her work unit. An orientation program consists a different socialization process. Orientation program includes information about organization, its history, mission, and objective, philosophy, procedures and rules; communicate relevant personnel policies.
in the first day of joining employee has to fill a joining form. They also take around the new employee to oversee the physical facilities of the organization as well to all departments to orient them with the old employee.
3.4.1.1: Introduction:
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 HR Department are aware of their orientation responsibilities. This guideline / policy are applicable for all new joiners in the company. Responsibilities 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.
Procedure The following provides an outline of orientation activities for employees who have been newly appointed to Golden Horizon Limited: Provide information on terms and conditions of employment. Provide information on standards of conduct and ethical behavior. Explain the significance of the Contract of Employment. Provide the name, location and work telephone number of the HR personnel. Provide information on maintaining a workplace free from harassment or discrimination. Provide information pertaining to pay, leave entitlements, medical, health and employee services. 27
Explain how the company is structured. Provide a brief history and the mission and vision of the organization. Provide information on workplace programs. Explain the duties of the employees position and the requirements of the job. Describe the probationary period. Identify the contribution or results expected of the employee. Provide information on work procedures relating to the operation and administration of the workplace including hours of work and attendance reporting requirements. Explain safety and health procedures and emergency preparedness. Introduce the new employee to colleagues at the workplace and give a brief explanation of their roles. Ensure that the employees work station is ready prior to the employees first day on the job including telephone and computer connections; (wherever applicable) Ensure that the employee receives a box of visiting cards (if eligible) on his first day on job Explain employee development and career development opportunities. Provide details pertaining to social, recreational and other facilities or activities available to employees. The new candidate is given a CD which contains details of Golden Horizon Limited and its Group Companies (Sunman Group) by means of a power point presentation.
Confidentiality Agreement; Appointment Letter; 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.
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First need to collect information about the job related 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 educational background and qualification. Experience: Experience must be needed for any job in Golden Horizon Limited.
Cutting Astt. Manager (cum in-charge) Qualification: Masters/ bachelor in any subject preferably commerce. Bachelor/diploma in textile and clothing or related discipline will be given preference. Must have at least 7 years practical experience in similar position in any garments factory.
Production Officer (Sewing) Qualification: Graduate /HSC Must have at least 3 years practical experience in similar position in garments.
Sewing Technician 30
Qualification: Graduate /HSC Must have at least 2 years practical experience in similar position in garments. Experience and skill for all above jobs:
Needs analysis step: identifying the specific job performance skills needed. Instructional Design: preparing the training program contents including workbooks, exercises, and activities Validation Step: The bugs are worked out of the training program by presenting it to a small representative audience. Implement the program: proving actual training to the targeted audiences. Follow up step: the Managers assess the programs success or failures.
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This involves identifying and gathering information regarding the operational activities within the organization, analyzing them and successive reporting of that to the training decision maker. The main purpose of doing this is to disclose major problem areas within the organization that may indicate a need for training. Operations Analysis: This analysis helps to identify and record the specific behavior required accomplishing various tasks. This form of data collection enables the training personnel in creating programs focusing on the right way to perform a job. Individual Analysis: Individual analysis refers to identifying the characteristics and capabilities of the employees, collecting, synthesizing and analyzing data and finally reporting the findings to the decision makers and the training designers. The purpose of such analysis is twofold (1) Who currently needs training; and (2) what skills, knowledge, abilities and attitudes need to be strengthened. This is done with the view to bridging the gap between the desired and actual performance. Data collection methods for Individual Analysis: Advisory committee Advisory Committees are comprised of the various levels of management across different functional areas to determine the usefulness of a particular training program pertaining to a problem and establish training priorities. Assessment Centers This is primarily used for selection process and requires the participants to go through a series of tests both technical and behavioral to determine their knowledge base and for the purpose of ascertaining their strengths and weaknesses. Satisfaction surveys These surveys are used to determine the satisfaction level within the organization and help in identifying the training need areas. Group Discussions This method involves meeting with employees of a specific work area with an objective of getting their emotional commitment towards training. Questionnaires 33
The training needs in the organization are identified through the responses from the questionnaires. The questions range from the skill set requirements to their usefulness and the employees perception of training. Skills Test In skill oriented jobs test of skills are required to identify training needs. These tests are job related and measure those skills and abilities required for successful job performance. Observation of behaviors Trainers or supervisors may directly observe employees behavior to identify training needs. Performance Appraisal This is the most important method of individual analysis. A job related performance appraisal system would highlight the strengths and weaknesses in the employee performance and eventually lead to the design of a training program based on the identified needs. Organization maintains detailed records of employee performance on a regular basis and thereby streamlines the training programs depending upon the current trends and requirements in the organization. Exit Interviews A high turnover rate may help in identification of organizational problems and the need for training. The validity of exit interviews depends on skills of the interviewers and honest feedback from the employees.
It refers to the placing of an employee in different types of jobs for a certain period of time. Duration of time will depend upon the level of the employee, for junior level it may cover a short period of few weeks while for the seniors it can be some definite assignment for a few months or more. This helps the employees broaden their job knowledge in diverse fields. Cross promotion Employees in middle to senior level management experience job rotation in the form of cross promotion, which means a shift of responsibilities lasting one or more years. This is done with a view to expose the senior employee towards general management and competency development. Enlarged and Enriched Job Responsibilities An employee learns more about the job and cultivates his / her sovereignty through added job responsibilities. With an increase in the work area an employee skills and knowledge can be tested. This also serves as a motivational tool for each one to perform better towards achieving the organizational goal. Apprentice Training This is a combination of classroom and on the job training. Coaching In an organization the supervisors may assume the role of a coach to the employee by providing information on the organizational roles, the means towards achieving them and through constant feedback on the gap if exists in achieving such goals. Mentoring It refers to an exceptional manager providing guidance to the juniors in their professional development. Mentorship can be both formal and informal. Many organizations have formal mentoring programs. In case of informal mentorship it is based on the understanding between a senior and a junior. Project Teams / Committee assignments Committees are formed to solve certain problems, plan for the future and discuss on the issues critical to the organization. An employee serving in a committee enhances his / her participating and decision making abilities and broadens up the organizational vision, through greater involvement in the issues of the management and improving the relationships among the work group. Away from the job training 35
This refers to training programs conducted away from the employees immediate work area. This can again be of two types: In-house programs conducted within the organizations own training facility either by the internal training facilitator or by external consultants Off- site programs held outside; conducted and organized by a professional organization or a training firm. A variety of training methods are used for imparting such type of training. Video Tapes / VCDs The use of videotapes is high due to the convenience it introduces to using and sharing ideas and issues, especially those involving technical and behavioral skills. Lecture This is an important and popular means of delivering training to a large group of people on a specific topic in a timely manner. It facilitates the open discussions between the speakers and the trainees. Conference/ Discussion Organizational goals and problems towards achieving such goals are discussed in Conference / discussions by permitting a dialogue between the trainer and the trainees, which helps in heightening the motivational level through immediate feedback. Technology based systems The interactive video disc/ CD and other computer-based learning tools are becoming more and more popular with improved technology and declining price. These are very cost effective and more number of people can learn in a shorter period of time and with a steady pace. This also has the benefit of a globalized standard across locations. Case Study A case study is a written description of a real life problem linked with the function of the organization. This is a widely-accepted method as the trainees can analyze the problem and can present their own recommendations, thereby enhancing their problem solving and analyzing skills. They also become exposed to the group decision-making effort and the group dynamics. Role-playing Participants play the role of the people involved in a particular organizational problem, with certain data that is provided to them in the beginning. The primary objective of this is to analyze 36
interpersonal skills and human relationship management. Attempts must be made to make the situation realistic. Management Games These are designed to replicate conditions actually existing in an organization and usually involve competitive terms among the participating teams in planning and control on matters related to sales, finance, strategies, etc. The ultimate objective of such games is to make the participants learn about the group dynamics, solving problems in a group, communication patterns, and dealing with conflict in implementing ideas. Membership in professional Organization/ Association Membership in professional associations develops employees in various ways through the participation in monthly meetings, conventions, etc. by means of exchange of ideas, and discussing common problems. Behavior Modeling A classroom oriented technique, generally used to teach problem solving skills to the first level managers. In this process the topic is first introduced by the trainer and a model of effective leadership behavior is illustrated. The trainees then discuss the model and practice on it using role-playing and finally receive feedback from the trainers. Subscription to Professional Periodicals / Journals The Library should contain Professional Periodicals/ Journals which may be used by employees for updating their knowledge in respective areas/ general management. Open House Presentation The employee of second/ third levels should be encouraged to make presentations related to their areas to Staff across the functions, as a mode of training and bringing in better Communication Skills and expression
Golden Horizon Limited has a nice training facilities and well defined policies to conduct training for new and old employee. They almost conduct all types of training for developing employee skills and knowledge. But resource persons of Golden Horizon Limited Garments informed due to the production load and buyer requirement they are not able to follow through all the training they conduct properly. As it is a labor intensive industry so they give importance on on-the-job training. But still they could not prepare proper training module for every training. The turnover of this industry is high due to wage scale. Due to this factor they could not identify training needs of an individual in a prescribed form which they formulated. To evaluate the training they also have a training evaluation form. These are the training lacking of Golden Horizon Limited. They also informed they have a training manager who is now working on these training short comings to compete their human resources.
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The performance plan must have direct linkage with the Corporate Plan of the department (Balanced Scorecard) and each target must have a date by which it must be achieved. Action plans for achieving the target by the set date must be developed and included in the performance plan. The officer will be judged on the basis of achievement of his/her targets. The assessment will have a provision for a midterm and yearly review. The performance of the officer will be rated and this information will be used for promotional and developmental decisions The Departmental Heads will prepare their performance plan according to their Departmental Scorecards in consultation with the MD. Golden Horizon Limited Garments follow two performance appraisal formats for his two levels of employee. For junior level they measure performance out of five scales and for seniors they measure out of four scales. Junior levels are up to shift in charge and senior level starts from assistant manager and up. They do not have any performance measurement standard for worker level. Golden Horizon Limited officials said as turnover of worker level is very high so they do not measure their performance. They also informed in future they will implement performance measurement system for all level of employee. With the performance measurement system they evaluate employee for their promotion, training and pay raise. In performance appraisal procedure they have two levels of judgment one is appraisal and another is reviewer. But the official of Golden Horizon Limited Garments informed everybody is not properly trained with evaluation process. Thereby the objective set by the supervisor still not task oriented. They are in a process of formulating job description for all employees. Once it is finished they are hopeful that their performance measurement process will be more refined.
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Compensation is a cost, so Golden Horizon Limited management has a fair compensation plan to pay a standard payment to the employees. While talking a decision about compensation Golden Horizon Limited management consider following factors: Minimum wage(RMG sector) ordinance 2006 Instruction of BGMEA Cost of living Ability to pay Govt. rules & regulations. Geographical difference Job analysis & job evaluation Golden Horizon Limited provides some benefits to its workers to motivate employees for the higher performances. Golden horizon Limited provides these benefits to its employees because in absences of these benefit can contribute to employee dissatisfaction and increase absenteeism and labor turn over. Golden horizon Limited spent each year a huge amount of these benefit program. A good benefit program can retain current employees and also to attract good, competent job seekers. Golden horizon Limited provides its employees the following benefits: Maternity benefits Fringe benefits Provident fund Insurance policy Transportation facility Child care facility Leave benefits Incentive bonus Better working environment Good supervision Medical allowance Factory allowance 41
Wage is the payment of any financial or non financial returns to the workers at an hour basis. It is the payment of satisfactory of blue color workers in the organization. Golden Horizon Limited pays wages to the labor, operators, helpers etc. Golden Horizon Limited pays output based salary to the production related workers because: Unit of output is measurable There is a clear cut relationship between employees effort and quantity of output. The job is standardized, the flow of work is regular and breakdown is few. Opportunity to earn more. Golden Horizon Limited pays salary and wages to the employees as per BGMEA instruction and minimum wage ordinance 2006.
Grade
Gradation of workers
Basic
House rent
Medical
Total basic 43
a. Pattern master b. Chief quality master c. Chief cutting master a. Mechanic b. Operator c. Cutting master a. Sample mechanic b. Senior machine operator c. Senior line leader a. Senior machine operator b. Knitting machine operator c. Linking machine operator d. Cutter/ packer a. Junior sewing operator b. Junior knitting operator c. Junior cutter a. Sewing/ winding b. Junior packer folder/Iron
3800.00
allowance 200.00
5140.00
2800.00
840.00
200.00
3840.00
1730.00
519.00
200.00
2449.00
1577.00
473.00
200.00
2250.00
1420.00
426.00
200.00
2046.00
1270.00
381.00
200.00
1851.00
Example of gross salary: Basic------------------------------------------- = TK. 1730 House rent------------------------------------ = TK. 519 M.A-------------------------------------------- = TK. 200 -----------------------------------------------------------------Total gross salary---------------------------- = TK. 2449
Below minimum salary range: Is offered to candidates who do not meet the minimum
requirements of the job. This should be limited to exceptional cases. Primarily the objective of Golden Horizon Limited is to recruit the right person for the right job.
Minimum of the range: Is offered to candidates who meet the minimum requirements of
the job.
Above minimum of the range: Is offered to candidates who exceed the minimum
substantially exceed the minimum requirements of the job. The salary rates on these four attributes shall be finalized by HRD based on the pre-determined manpower budget. Salary offers must have the prior approval of the HR Administration, the Head of the Department and the MD.
The employee is not scheduled for voluntary or involuntary termination or retirement within three months of the effective date of the merit increase, with the exception that an employee leaving the organization due to a organization-initiated age 58 separation is eligible for an earned merit increase in accordance with normal guidelines, provided the separation is not scheduled within one month of the merit increase effective date. Factors influencing merit increase Performance, as indicated by an employee's relative ranking versus peers with the same performance category rating. Pay for the job, as indicated by the position of the employee's salary in the range and pay versus peers with more or less experience and higher or lower qualifications. Plans for promotions, which reduce the need to adjust merits as an employee's salary approaches the maximum of his current range. Economic and business conditions, the business scenario of the economy as well as the business performance of Golden Horizon Limited Garments.
3.8.2: Benefits:
Golden Horizon Limited Garments provides different attractive amount of benefit to their employee. The authority of Golden Horizon Limited Garments gives priority to employee preference and setup strategy to retain highly qualified employees.
responsible for developing and implementing the Medical Benefit Schemes as per the Income Tax norms. Benefits in certain cases For new entrants who join in between the year, this Scheme will be applicable from the date of confirmation. The Medical Benefits, in their case will be worked out proportionately. It is done on the basis of annual basis quota allotment. The employee leaving the organization during the year due to any reasons will be entitled to proportionate medical benefit up to the last day of service. The employee, if any, will refund the over-utilized amount. Medical Benefits Medical benefits under this Scheme will include: The expenditure incurred by an employee / charges paid on conducting tests, or on the purchase of medicines or aids (viz. Hearing, Visual Dental etc.), doctors fees, etc. and expenditure incurred in the hospital/ nursing homes as an out-patient or in-patient (excluding food and beverages expenses) . Medical expenses will be borne by the company to the extent the incumbent is eligible as per the salary structure. General
For receiving the medical reimbursements, the claim should be submitted on the
prescribed form duly supported by cash memos / receipts / bills etc. Employees can claim Medical Reimbursement as per bills submitted. This supersedes all circulars / schemes / rules on the subject. On the day of occurrence of any accidents within the factory premises the entire cost of treatment is borne by the organization. (This clause is solely under the discretion of the management.) Billing period will be considered as the calendar year for all payments.
Eligibility conditions for gratuity A minimum of 5 years service in the organization from the date of joining. It is entirely funded by the company. Benefit On retirement or separation, an eligible employee gets gratuity For 5 years of continuous service - 5 times of last drawn gross salary For 7 years of continuous service - 7 times of last drawn gross salary plus one fourth of last drawn= 7 x (1 + ) For 10 years of continuous service - 10 times of last drawn gross salary plus one half of last drawn= 10 x (1 + 1/2) Forfeiture of Gratuity Gratuity is also wholly forfeited in case of termination of services by the organization for riotous or disorderly conduct or any act of violence on the part of the employee. In case of termination of service for any act, willful omission or negligence of the member causing any damage or loss to or destruction of the property belonging to the organization, gratuity payable under the scheme shall be forfeited to the extent of the damage or loss so caused.
Procedure An employee can take another loan only when the full and final EMI of his previous loan is paid by him/her. All employees need prior recommendation for their loan from their Department Head on the Loan Application Form and must forward it to the HR Department for processing. The HR Department should send the same to the MD for approval in case it is not within the power of HR. After approval the HR Department will make entries in loan accounts and forward the same to the Accounts Department. The application has to be accompanied with a proof of financial liability. Loan Amount Entitlement shall not be automatic but shall be at the sole discretion of the management; the loan amount would largely depend upon financial position of the organization and shall not exceed 2 months gross salary. Recovery of Loan
The loan will be adjusted in monthly installments of Tk 500 (Or at 5% of the loan
given. Loan Sanction Heads of Departments shall initially validate the loan application of their departmental employees. While validating the loans the HOD must evaluate the genuineness of the case while complying with the above mentioned conditions and should be very discreet in sanctioning the loans. If there is any requirement for a loan that does not fall within the above criteria, the same may be forwarded by the HOD, with recommendations and specific requirements for making exception, to the HR department for considering by the Head of HR. HR will have the authority to disapprove any such forwarded loan application. General Guidelines Loan is to be applied for in the prescribed form only. The approval will take a minimum of 7 working days. 50
Applicant employee will provide the guarantee of two confirmed employees for the repayment of loan. In the event of an employee leaving the organization without fully/ partly repaying the loan amount, the guarantors will pay back the loan amount in installments, as per the managements decision. The management reserves the right to amend/ discontinue the scheme or decline the application without assigning any reasons.
*Advance against salary as stated above can be availed only once in a calendar year. All employees need to take an approval for advance from their Department Head and forward it to the HR department for necessary action. The advance has to be adjusted in full against the salary due for that month.
3.9: Motivation:
Human resource is a key to drive an organization to achieve the goals. Understanding what motivates employees and how they are motivated to work effectively plays an important role in 51
gaining competitive advantage. Motivation is very important for product and production related organization. If workers are highly motivated then their performances will be high. So to motivate to workers Golden Horizon Limited gives some financial and non financial incentives. Following are the motivating incentives allowed by the Golden Horizon Limited management to its employees/staffs and worker:
Good working environment (Music plays) Six month maternity leave (Women)
Provided sufficient safety & security materials Attendance bonus Punctuality bonus
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a.
At first day, give warning (orally) to the employee who experience their first offence (leaving without permission, unexcused absence, habitual late attendance)
b. Secondly, they give warning (written) if the first offence continuous for long time or
period.
c.
Thirdly they issue showcase letter to the employee who conduct a serious offence (continuous defective work, attacking another employee with intend to seriously harm, malicious destruction of organizational properties, stealing sexual harassment, disobedient to the immediate supervisor etc) giving four (4) days time to reply.
d. After receiving reply letter of showcase if the management is not satisfied with the answer, then they sent an enquiry notice addressing the respective employees with the full opportunities to conduct his/her defense and enquiry officer is appointed in this case. e. After hearing and verifying facts witness documents from the employee the enquiry officer will give a report on the enquiry to the management. 54
f.
After receiving the report from the enquiry officer the management will take the decision whether any disciplinary action like dismissal, demotion, sustention will be appropriate in this case or not and then send the order of the management to the respective employees.
Golden Horizon Limited management follows above disciplinary procedure to handle conflict in the factory premises.
To check out whether any needle guard, eye guard, safety guard, machine and motor
policy are broken down or not.
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4.2: Absenteeism:
Absenteeism is a condition that exists when a person fails to come to scheduled work. Over the year which reduced normal productions of a product manufacturing organization is absenteeism. It is really harmful for any organization, particularly product manufacturing organization like RMG. High absenteeism has a great affect on RMG sector. As per the realization of concerned department some serious effect due to high rate of absenteeism in Golden Horizon Limited. These are: High rate of absenteeism some time reduced production goal.
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Absent
Leave
Present ( %)
11 23 51 29 27 141
10 13 22 11 09 65
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No. of total workers in the period I have collected the following data from different reports registered and left file through the cooperation of the concerned person of Golden Horizon Limited of last four (04) years. After receiving his/her accuse the committee will draw attention of the DGM of the Admin and also head of HR department for quick resolving of this problem (Labor turnover) with following rules and regulation provided from the organization.
Turnover
workers during the period 421 549 507 340 639 2456 30 27 37 35 40 169 14/00 04/00 06/00 05/00 17/00 46/00 7.12 4.91 7.29 10.29 6.31 35.92
54 31 43 40 57 225
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Graph:1 (a)
The graph indicate that during the period of 2006-2007, the total existing manpower of five (5) units was less then 3000 since it was the introductory year of the Golden Horizon Limited and Avg. number of total workers during the period was near about 25000, whereas total number of workers left during the period not more then 300, thats why it was easy to replace the required workers .
Graph:1 (b)
The proportion of total labor turnover during the period of 2006-2007 was more than 35%, whereas unit- 1 contained above 7.12%, unit-2 contained 4.91%, unit-3 contained 7.29%, unit-4 contained 10.29% and unit-5 contained 6.31%.
Table: 2
Unit Total existing strength Analysis of labor Turnover rate year of: 2007-2008 No. of Avg. No. of Replaced Short/Excess workers left Unit- 1 550 21 workers during the period 529 21 0/0 3.96 Turnover
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30 29 37 55 172
25 25 30 37 138
Graph:2 (a)
The graph of 2007-2008 shows that total number of existing manpower was exactly 3000, at the same time as Avg. number of in attendance workers was more than 2800 of five(5) units. The total number of workers left during the period not more than 200 and it was comfortably replaced (not more than 150).
Graph:2 (b)
The percentage of total labor turnover at the time of 2007-2008 was less than 25%, and within the 5 units no one exceed 5.5% except unit- 4 (6.97%).
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Table: 3
Analysis of labor Turnover rate year of: 2008-2009 Unit Total existing strength No. of workers left Unit- 1 Unit-2 Unit-3 Unit-4 Unit-5 Total 610 695 719 501 800 3325 25 23 26 17 29 120 Avg. No. of workers during the period 585 669 693 484 771 3202 19 20 22 17 25 103 6/0 3/0 4/0 0/0 4/0 17 3.24 2.98 3.17 3.51 3.24 16.14 Replaced Short/Excess Turnover
Graph:3 (a)
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The information explains that the total number of manpower during the time of 2008-2009 was almost 3200 and total number of current workers was near about 3100. Since the age of the business the percentage of absent worker decreased (not more than 130) and it was contentedly replaced (103) though some was in shortage (17).
Graph:3 (b)
The graph represents that the labor turn over in 2008-2009 was almost exactly 16% and the whole five (5) units labor turnover was within 4%, since the business getting stronger day by day because of its age and facilitation.
Table: 4
Analysis of labor Turnover rate year of: 2009-20010 Unit Total existing strength No. of workers left Avg. No. of workers during the period Replaced Short/Excess Turnover
32 27 41 19 35 154
29 21 39 19 28 136
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Graph:4 (a)
The chart illustrates that total number of existing manpower of 2009-2010 was more than 4000, whereas Avg. number of total workers at hand was also near about 4000, which means labor turnover minimized at this stage (only 18 workers were in short).
Graph: 4(b)
The diagram illustrates that both five (5) units were fluctuated during the period of 2009-2010 and total turnover was slightly increased (26.64) compared with2008-2009.
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Concluding Aspects
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Findings:
Golden Horizon Limited is one of the recognized business organization in garments sector. Maximum workers are found satisfied. However, I have found many findings in GHL during my several times visit in Golden Horizon Limited: a. Fair system in recruitment and selection process: Golden Horizon Limited believes in fair recruitment and selection process for their employees. They try to make the whole process unbiased and fair. The transparency in recruitment & selection process is their first priority. b. Hiring the right number of employees in right place: the objective of Golden Horizon Limited is to make sure that each department has sufficient workforce to get the organization ahead. c. The whole HR department is very well designed and organized, even though limited workforce is a problem sometimes. d. Not paying enough attention to the employee development and their demand. e. Competence gap for the employees is noticeable, the gap between the standard and actual performance is noticeable in employees. f. Compensation package are not found safety. g. Lack of sufficient leave and holiday facilities increase absenteeism and so thus product shipment are delayed frequently. h. Reward systems are not found up to date. i. Lack of job security.
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Recommendation:
a. Specific training should give to the HR personnel. b. Supervisors are not found so committed to attain organizations goal. So it should be changed. c. Excess manpower should be reduced. d. Worker grievance should be eliminating immediately. e. Long term HR planning should be maintained. f. The compensation package in Golden Horizon Limited is not Attractive they should restructure their salary and other compensation. g. As there is competency gap in employees Golden Horizon Limited should start employee training and other development programs to develop the employees. h. Different leave facilities should be ensured. i. Job security should be ensured first of all to retain current employee.
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Conclusion:
As per observation in Golden Horizon Limited I found that there is a good industrial relation existing within the factory. It is very much required for a garment factory. A good IR reduced labor turnover, absenteeism and administrative cost. It is come to true that now-a-days without having a good IR will not be able to grow up its business. Golden Horizon Limited have a good working environment and most of the worker are committed to fulfill their as well as organizations vision and mission. I tried my level best to represent details of the function of HR department. I hope that this Research Paper will come in the light of success if any individual/organization receives any help from it.
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References:
1. Personnel/Human Resources management by David A. Decenzo & Stephen P. Robbins, Third edition. Page No.: 79, 81, 98, 100-101, 240-242, 246-250, 361-364, 396-402, 487495. 2. Organizational Behavior by Stephen P. Robbins, 9th edition. Page No.: 76-78, 193-194, 206-209, 383, 476-500. 3. Human Resources Management & Industrial Relations by Dr. Abdul Awal Khan and Dr. M. A. Taher. 4. Bangladesh Labor & Industrial law by Professor A.A Khan- Student edition. 5. Industrial Law 2006 6. Code of conduct & hand book for workers, Sunman Group of Companies. 7. Workers guide book, supplied by Sunman Group (Golden Horizon Limited). 8. www.scirbd.com
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