Bank comprises with human resource which is the most important and essential assets of an organization.

1. Title
A comparative study of HRM practices of banks in
Bangladesh
Presented by,
Bablu Chakma

2. Introduction
 Bank is the means performer for the financial sector of
Bangladesh as well as for the economy;
 Bank comprises with human resource which is the most
important and essential assets of an organization;
 In human resource the human beings take part in a dual role-
as resource and as a motivation force for all other where they
can make or break the fortunes of an organization;
 Main objectives of an Human Resource is placing the right
people in the right position;

3. Purpose of the Study
The main purpose of the study is to know the recent trend of
Human Resource Management and understanding its
contribution in banking sector. This study is based on a,
 A government bank - Agrani Bank Limited;
 A multinational bank - HSBC Bank;
 An Islamic Bank - Shahjalal Islami Bank Limited;
 A private bank - Mutual Trust bank and;
 A Non-banking financial institution - IDLC Finance Limited.

4. Objectives of the study
 To review the Human Resource policy system of various kinds
of bank;
 Identify the constraints in implementing Human Resource
Policies;
 To identify the Effectiveness of HRM practices in different
kinds of banks;
 To know the job performance of the employees of selected
banks;
 To know whether the HRM practices of these banks is relevant
with their organizational activities and is it is international
standard or not;
 To address the association between HRM practices and job
satisfaction;

5. Background of the Banks
Agrani Bank
Agrani Bank is a state-owned commercial bank of Bangladesh established in
1972. Its headquarters is situated at Motijheel in Dhaka, the capital city
of Bangladesh.
HSBC Bank
The Hongkong and Shanghai Banking Corporation Limited is a bank
established and based in Hong Kong since 1865, when Hong Kong was a
colony of the British Empire. It is the founding member of the HSBC
Group and, since 1990, is a wholly owned subsidiary of the London-
based HSBC Holdings P.L.C.
Shahjalal Islami Bank Limited (SJIBL)
Shahjalal Islami Bank Limited (SJIBL) commenced its commercial operations
in accordance with principle of Islamic Shariah on May 10, 2001 in
Bangladesh under the Bank Companies Act, 1991.

6. Mutual Trust Bank Limited
The Company was incorporated as a Public Limited Company in 1999,
under the Companies Act 1994, with an Authorized Share Capital of
BDT 1,000,000,000 divided into 10,000,000 ordinary shares of BDT 100
each.
IDLC Finance Limited
IDLC Finance Limited one of renowned non banking financial institution in
Bangladesh. It started its operation at 1985 and it is the pioneer
financial institution in Bangladesh. IDLC Finance Limited has different
kinds of products and services.

7. Methodology
Methodology of Information Collection
 Sample design;
 Questionnaire development;
 Data collection and
 Data analysis

8. Questionnaire Survey Analysis and
Overall Survey Analysis

9. Which is the most important management
function in your bank in your opinion?
Agrani Bank HSBC Bank SJIBL MTBL IDLC
Planning 32% 36% 28% 32% 28%
Organizing 24% 16% 20% 28% 12%
Staffing 16% 12% 24% 16% 24%
Leading 8% 24% 20% 8% 28%
Controlling 20% 12% 8% 16% 8%
0%
5%
10%
15%
20%
25%
30%
35%
40%

10. Which media is used by your bank for recruitment
and selection?
Agrani Bank HSBC SJIBL MTBL IDLC
Newspapers 40% 12% 32% 36% 64%
Internet 28% 60% 40% 28% 24%
Recruitment Agencies 24% 24% 24% 24% 8%
University Notice Board 8% 4% 4% 12% 4%
0%
10%
20%
30%
40%
50%
60%
70%

11. Which source is used by your bank to hire new
employees?
Agrani Bank HSBC SJIBL MTBL IDLC
Internal 40% 36% 68% 36% 36%
External 60% 64% 32% 64% 64%
0%
10%
20%
30%
40%
50%
60%
70%
80%

12. Do you think that the organization is used the
structured and standardized interviews?
Agrani Bank HSBC SJIBL MTBL IDLC
Strongly Disagree 8% 8% 8% 4% 24%
Disagree 8% 4% 24% 20% 16%
Neutral 32% 24% 16% 12% 28%
Agree 36% 60% 32% 44% 20%
Strongly Agree 16% 4% 20% 20% 12%
0%
10%
20%
30%
40%
50%
60%
70%

13. What is the main focus of staffing in your bank?
Agrani Bank HSBC SJIBL MTBL IDLC
Manual skill 16% 12% 52% 16% 56%
Technical Skills 32% 36% 32% 60% 20%
Problem solving Skills 52% 52% 16% 24% 24%
0%
10%
20%
30%
40%
50%
60%
70%

14. Is there any policy of giving training to temporary
workers in your bank?
Agrani Bank HSBC SJIBL MTBL IDLC
Yes 80% 68% 48% 36% 76%
No 8% 8% 16% 56% 16%
Don't know 12% 24% 36% 8% 8%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%

15. Are you satisfied with the role expected by the
management to be performed by you?
Agrani Bank HSBC SJIBL MTBL IDLC
Yes 48% 24% 24% 36% 60%
No 24% 36% 60% 44% 28%
Don't know 28% 40% 16% 20% 12%
0%
10%
20%
30%
40%
50%
60%
70%

16. What do you think the management of the bank can do to help
you handle work-related stress better from below?
Agrani Bank HSBC Bank SJIBL MTBL IDLC
Training 24% 44% 20% 28% 36%
Motivation 8% 28% 8% 36% 24%
Independency 36% 8% 8% 12% 16%
Leave 12% 12% 28% 16% 8%
Compensation 20% 8% 36% 8% 16%
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
50%

17. Do you think the bank management system is very fair in
incentives practices and aimed at rewarding to those who
accomplish their goals?
Agrani Bank HSBC Bank SJIBL MTBL IDLC
Strongly Disagree 12% 20% 28% 8% 12%
Disagree 12% 12% 24% 28% 28%
Neutral 32% 28% 8% 24% 20%
Agree 40% 36% 36% 36% 20%
Strongly Agree 4% 4% 4% 4% 16%
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%

18. Dose your organization used performances based
appraisal?
Agrani Bank HSBC Bank SJIBL MTBL IDLC
Strongly Disagree 0% 12% 28% 8% 24%
Disagree 0% 20% 36% 4% 36%
Neutral 32% 32% 12% 20% 8%
Agree 12% 20% 20% 44% 20%
Strongly Agree 56% 16% 4% 24% 12%
0%
10%
20%
30%
40%
50%
60%

19. Is your banks HR department maintaining all "Employee
Act" as well for justifying employee's facilities?
Agrani Bank HSBC Bank SJIBL MTBL IDLC
Strongly Disagree 4% 16% 4% 12% 36%
Disagree 12% 12% 20% 8% 24%
Neutral 16% 36% 12% 16% 12%
Agree 28% 20% 28% 28% 20%
Strongly Agree 40% 16% 36% 36% 8%
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%

20. Findings of the Study
 Management functions & Recruitment System
 Career Development
 Training
 Performance appraisal
 Insufficient manpower
 Organizational Relationship
 Working environment
 Effective HR Practice

21. Limitations of the study
 It was difficult to communicate with the officers of all
departments of bank; most of them were busy with their
respective jobs;
 Information that is collected from bank website was not
detailed;
 Sufficient records, publications, facts and figures are not
available. These constraints narrowed the scope of the real
analysis;
 Finally this is my first experience in human resource
management part. So my knowledge especially in such a
research study is limited.

22. Recommendation
 First of all the main important thing for an organization is the
Recruitment process, which exists in my selected banks, is not
well designed. In this case what they can do is that they can
go for campus recruitment; hire recruiting agencies for
recruiting people or follow the online recruitments process;
 A proper evaluation system is very essential for the banks or
any organization. If the evaluation process does not reflect
the real scenario all other efforts will be ruin miserably. So,
employee evolution process must be significant;
 Formulating a succession planning and better salary package;

23.  Finally, the authority should be delegated to the lower level
with adequate measures for the necessary control and follow-
up for making the lending decision and recovery.

24. THANKS TO ALL