Compensation Structure

Of

Lanka Bangla Securities Limited

COMPENSATION STRUCTURE
Of
LANKA BANGLA SECURITIES LIMITED

SUBMITTED TO
Farhana Rashid
Assistant Professor
School of Business
United International University

SUBMITTED BY
Syeda Shotorupa Zafar
ID: 111101192

COMPENSATION MANAGEMENT (HRM 4152)

Section: B

Date of Submission: 10 January 2014

Synopsis
For making this report I have chosen Lanka Bangla Securities Limited, a foremost company in
Bangladesh. Here I converse lots of information concerning Lanka Bangla Securities Limited in
Bangladesh. Its a sister concern of Lanka Bankla Limited in Bangladesh
In the first chapter of this report mostly discuss about my profile. Where, I am discussed
numerous information about myself.
The following chapter, speak about the summary of this organization. It is included:
1) History of the Organization
2) Vision
3) Mission
4) Values
5) Milestones
6) Services
7) Total return for Employee
8) Compensation structure of the employee
9) Others
The next chapter is consisted of analysis and interpretation of the study. Mainly a survey is
shown in this chapter. The assessment was doing on 10 employees of the institute. They largely
answer six Question regarding their basic salary, benefits, short term incentives, long term
incentives, allowances and moreover about the relational returns. And the survey result or
outcome is finally come optimistic. Employee of Lanka Bangla Securities is greatly pleased with
their allowances, payment structure, relational returns, training, provident fund, facilities,
promotion and the overall environment of the organization.
As a result, the findings of the company are in the end encouraging and excellent. Employees of
this company are awfully satisfied. They work very glowing with a great motivation. The
number of employee of this organization is simply 203. But staffs are very loyal for their
organization for all over facilities, environment, reward and promotion, after retirement facilities
and so on. As employee is considered as an important part of the organization, so as employee

are satisfied, they work very sound. So, now Lanka Bangla Securities Limited is a very well
known company in Bangladesh. It also carries a status factor for the employee.
However from beginning to end the analysis and over all discussions, it also finds out that, there
is some shortage of facilities also. Like, the organization does not supply their employees, any
tricky activities. Besides, they do not offer any mobile allowance, transportation facilities or
insurance facilities. But, as their payment amount is high, employee do not give any hostility
regarding this matter. So according to these matters, I give some suggestion to the organization.
As this report is prepared for the course of compensation management, I try my best to include
here, what I study theoretically from the course and what information I got from the
organization. Especially I give high focus on the sector of Compensation of Lanka Bangla
Securities Limited.

1. Table of Contents
CHAPTER 1: Student Profile
1.0 STUDENT PROFILE ..................................................................................................................................... 6

CHAPTER 2: ORGANIZATIONAL OVERVIEW

2.0 ORGANIZATIONAL PROFILE ..................................................................................................................... 10

CHAPTER 4: ANALYSIS & FINDINGS

4.1 ANALYSIS................................................................................................................................................. 21
4.2 FINDINGS ................................................................................................................................................ 27

CHAPTER 5: RECOMMENDATIONS
5.0 RECOMMENDATIONS .............................................................................................................................. 28

CHAPTER 6: CONCLUSION & REFERENCES

6.0 CONCLUSION & REFERENCES ................................................................................................................... 30

CHAPTER 1
STUDENT PROFILE

Syeda Shotorupa Zafar

House# 16, Plot# 7
Block C, Section: 6
Mirpur, Dhaka-1216
Contact no: 01670163552
E-mail: shotorupazafar@gmail..com

Career Objective
To get a job that will let me gather enormous experience by enriching my knowledge base
through observation & analysis and therefore enabling me to make a competitive edge in
whatever I do.

Awards and Achievements:

Getting 100% and 50% Educational Scholarship from United International University.
Runner up of UIU Intra Marketing Samurai Competition 2013
Doing Learning and Earning Workshop on Outsourcing
Attending Motivational Workshop of Creating 2000 Entrepreneur by Sabirul Islam

Work Experience:

Performer and Executive of Planning and Development in UIU Theatre (From 2011 to
2012)

Head of Human Resource Management in UIU Business Club (From June 2013 to
Present)

Academic Profile
BBA in United International University, Dhaka

Major: Human Resource Management

Minor: Marketing

CGPA: 3.58 out of 4.00

HSC in Business Studies from Viqarunnisa Noon College, Dhaka

Passing Year 2009 and GPA is 4.80 out of 5.00

SSC in Business Studies from Viqarunnisa Noon School, Dhaka

Passing Year 2007 and GPA is 4.88 out of 5.00

Intermediate 3 in General English from British Council, Dhaka

Passing Year 2012

Additional Information
Skills:
Proficiency in English & Bengali in both oral & written form
Good presentation skill in both oral & visual form
Great conversation skills
Analytical skill in any situation

Computer Literacy:
MS-Office applications-Word, Excel & Power Point
Photo-scape
Internet Browsing

Co-Curricular Activities:
Facebook Chatting
Watching Advertisement on Television and Internet

Interests:
Human Resource Management Sector
Drawing & Posturing
Social Activities
Photography
Meeting Unknown People and Studying Peoples Behavior

Personal Information
Fathers Name

: Syed Abu Zafar

Mothers Name

: Sajal Islam

Date of Birth

: December 29, 1992

Permanent Address

: House# 16, Plot# 7, Block C, Section: 6,Mirpur, Dhaka-1216

Present Address

: House# 16, Plot# 7, Block C, Section: 6,Mirpur, Dhaka-1216

Nationality

: Bangladeshi

Religion

: Islam

Blood Group

: AB+

Marital Status

: Single

Gender

: Female

CHAPTER 2
ORGANIZATIONAL OVERVIEW

10

Organizational Profile:

2.1. Introduction:
Lanka Bangla began as Vanik Bangladesh Securities Limited in 1997 with its activities confined
only within the Chittagong Stock Exchange (CSE) Ltd. A year after Lanka Bangla Securities
made a step ahead and introduced as Dhaka Stock Exchange (DSE). After that, it rebranded as
Lanka Bangla Securities Ltd in 2005 following a restructuring of the company.
Lanka Bangla Securities Limited mainly specialized in developing the countrys most efficient
stock brokerage workforce with unmatched skills and consummate perfectionism. Besides, it has
10 brunches spread in the leading cities and towns countrywide.
Lanka Bangla Securities Limited mainly leader in terms of customer transactions. Thats why
this company is crowned as the largest brokerage house in terms of transaction value for the 6th
constructive time in DSE and 7th constructive time in CSE in 2011
Quality, convenience and reliability these certain things that the company is provided at the
highest level that a client can expect. From their broker and that is the key to such a strong
network of key clients all over the world. Its ability is to meet the demands considering every
clients time horizon, goals and risk tolerance.
The company has 90.91% owned subsidiary of Lanka Bangla Finance Limited (LBFL) which is
one of the leading listed non banking financial institutions in Bangladesh engaged in Leasing,
Credit Card Services, Merchant Banking< Corporate Financing and Financial Consultancy.
LBFL is owned by a group of highly successful local business entrepreneurs of Bangladesh, the
Sampath Bank Limited of Sri Lanka, the One Bank Limited of Bangladesh and the general
public.
Source: Annual Report: 2012 of Lanka Bangla Securities Limited

11

2.2. Vision:
Growing Together with our stakeholders by implementing the most comprehensive,
efficient and state of the art brokerage platform to maintain the excellence and
maximize the wealth of stakeholders.
Source: Annual Report: 2012 of Lanka Bangla Securities Limited

2.3. Mission:
1. Providing Quality Product and Services

2. Ensuring the use of State and the Art of Technology

3. Being the heart of International Investment

4. Representative wide-ranging reliability with market

5. Maintaining Commercial Control

6. Promoting Research and Analysis

7. Involving in Continuous Process Improvement

Source: Annual Report: 2012 of Lanka Bangla Securities Limited

12

2.4. Values:
1. Accountability: Ensuring responsibility and conformity

2. Diversity: As inclusive as our services.

3. Integrity: Being real with task and workforce with highest ethical
standards and fairness in every event

4. Leadership: The courage to shape a better future

5. Quality: Ensuring the service with commitment

6. Respect: We honor the rights and beliefs of our fellow associates,

our investors, key stakeholders and our community

7. Teamwork: We promote and support a diverse, yet unified, team.

We work together to meet our common goals.
Source: Annual Report: 2012 of Lanka Bangla Securities Limited

13

2.5. Lanka Banla Securities Limiteds Milestones:

1997: LSBL
formally
known as
Vanik
Bangladesh
Securities
Ltd.

2009:
Tagged with
BD Jobs

1998:
Connected
trading on
the Dhaka
Stock
Exchange

2009:
Converted
Private Ltd
to public
Ltd.

2009:
Achieved
best IT Users
Award

2011: Top
Broker in CSE
and DSE from 6

2011:
Increased
Paid up
Capital

and 7

2012: Introducing a
full-fledged financial
Web Portal and
Order Management
System

Source: Annual Report: 2012 of Lanka Bangla Securities Limited

14

2009: Sponsor
shareholding
of Financial
Excellence
Ltd.

2010:
Subscribe as 1st
ever local
company in
Bangladesh

2010: First
Broker submit
IPO for public
Listing

2010: Set the

Landmark of
BDT 1530.59
mn net profit
after tax

2008: Installed
included Back
office
Software
System

2005:
Renamed as
Lanka
Bangla
Securities
Limited

years.

2.6. Services of Lanka Bangla Securities Limited:

Services
1.

2.

Brokerage Services
MITA and Internet
Trading Services

In DSE and CSE Trading of Portfolio Accounts, Custodial

Services, Credit Facilities, Assisting Foreign Investors.
Hassel free Trading Facility for Non-Residents

3.

Foreign Trading Services

Email/Fax

4.

CDBL Services

Account Opening and Maintenance

5.

Research Services

Macro Market Review, Weekly Market Review

6.

Cutting Edge IT
Infrastructure

Virtualization, Introduction to cloud Concept

Source: Annual Report: 2012 of Lanka Bangla Securities Limited

2.7. Lanka Bangla Total Return For Employee:

15

The total compensation part are always counts the cash collection of employees. This part is
divided by two factors one is cash compensation and the other one is benefits which is also cash
benefits

Base Pay
Merit Pay
Cash
Compensation

Short term
incentive
Long term
incentive

Total
Compensation

Income Protection
Benifits

Work/Life Balance
Allowances

Total Compensation of Lanka Bangla Securities Limited

Base Pay
Merit Pay

Depends on your Position/Designation in the organization

20% of Base Pay (Regarding the performance of the
employee)

Short Term Incentives

Long Term Incentives
Income protection
Allowances:

2 Bonuses in a Year
5% Profit sharing with employee regarding the yearly profit
of the organization
Insurance Allowance 10% of Base Pay
House Allowance: 50% of Base Pay, Transportation and
Medical Allowance 10% of Base Pay.

16

Relational Return

Recognition &
Status
Employment
Security
Challenging Work
Learning
Opporturnity

Relational Return of Lanka Bangla Securities Limited

Recognition and Status

High. Because the company is very popular for Stock or Share

Business

Learning Opportunity

Company Provide Training to their employee when they need

to improve

Mainly employees of Lanka Bangla Securities Limited are greatly satisfied by their
compensation and other benefits. Besides, the company also provides their employee provident
fund facility where 10% of Base pay is offered by the organization and 10% are deducted from
the employee base pay.

17

2.8. Organizational Hierarchies of Lanka Bangla Securities Limited:

Chairman
CEO
COO
CTO
GM

HR Manager

Marketing
Manager

Broker

Accountants

Trade Executives

Portal Officer

Reserchers

18

Loan Manager

2.8. Salary Structure of Employees: (Estimated)

Position of
Employee

Basic

Net Salary

CEO

90000-150000

150000-200000

COO

70000-80000

90000-120000

CTO

70000-80000

90000-120000

GM

65000-70000

80000-90000

40000-60000

60000-80000

40000-60000

60000-80000

45000-55000

60000-70000

35000-40000

42000-48000

35000-40000

42000-45000

Researcher

35000-40000

42000-45000

Accounts

30000-320000

40000-420000

28000-30000

35000-40000

22000-25000

32000-35000

20000-22000

30000-32000

18000-20000

28000-30000

HR
Manager
Marketing
Manager
Broker
Trade
Executive
Portal
Officer

Loan
Manager
Senior
Executives
Junior
Executives
Probationer
Executives

19

CHAPTER 4
ANALYSIS & FINDINGS

20

4.1. Analysis:
I did a survey on 10 Employees of Lanka Bangla Securities Limited. I was asking them five
Questions, regarding their organization and its compensation and other benefits. The analysis is
given below:

1. The surroundings of your office is pleasant and safe:

Employee
Satisfaction

Strongly Disagree

Disagree

Neutral

Agree

Strongly Agree

Percentage of
Employees

0%

10%

10%

60%

20%

Percentage of Employees
70%
60%
50%
40%
30%
20%
10%
0%

Percentage of
Employees

Strongly
Disagree

Disagree

Neutral

Agree

Strongly
Agree

I find that, 60% employees agree that their office environment in nice, 20% employees are
strongly agree, 10% employees are neutral, 10% employees are disagree & 0% employees are
strongly disagree.
That means, employees of Lanka Bangla Securities Limited are highly satisfy with the
environment of the office.
21

2. Are you satisfied with the compensation that is provided to you?

Employee Satisfaction

No

Yes

Percentage of Employees

0%

100%

Percentage of Employees
120%
100%
80%
Percentage of
Employees

60%
40%
20%
0%
No

Yes

I find that, 100% employees say yes, that they happy with their compensation structure, 0%
employees reply no. That means, employees of Lanka Bangla Securities Limited are highly
satisfy with the environment of the office.

22

3. The quantity of Allowances and Facilities are excellent of your organization:

Employee
Satisfaction

Strongly Disagree

Disagree

Neutral

Agree

Strongly Agree

Percentage of
Employees

0%

0%

20%

50%

30%

Percentage of Employees
60%

50%
40%
30%

Percentage of
Employees

20%
10%
0%
Strongly Disagree Neutral
Disagree

Agree

Strongly
Agree

I find that, 50% employees agree that their office environment in nice, 30% employees are
strongly agree, 20% employees are neutral, 0% employees are disagree & 0% employees are
strongly disagree.
That means, employees of Lanka Bangla Securities Limited are extremely pleased with the
allowances and facilities, the company offer to them.

23

4. Relational Return (Status, Training Facilities, Challenging Work, Employment

Security) of your company are standard:
Employee
Satisfaction

Strongly Disagree

Disagree

Neutral

Agree

Strongly Agree

Percentage of
Employees

0%

10%

40%

30%

20%

Percentage of Employees
50%
40%
30%
Percentage of
Employees

20%
10%
0%
Strongly
Disagree

Disagree

Neutral

Agree

Strongly
Agree

I find that, 30% employees agree that their office environment in nice, 20% employees are
strongly agree, 40% employees are neutral, 10% employees are disagree & 0% employees are
strongly disagree.
That means, employees of Lanka Bangla Securities Limited are delighted but not so highly.
Besides 10% are said disagree. That means we say the most of the employee are neither agree or
nor disagree.

24

5. Indirect rewards (Bonus, Short Term Incentives and Long Term Incentives,
Merit pay) are well maintained:

Employee
Satisfaction

Strongly Disagree

Disagree

Neutral

Agree

Strongly Agree

Percentage of
Employees

0%

10%

40%

40%

10%

Percentage of Employees
50%

40%
30%
Percentage of
Employees

20%
10%
0%
Strongly
Disagree

Disagree

Neutral

Agree

Strongly
Agree

I find that, 40% employees agree that their office environment in nice, 10% employees are
strongly agree, 40% employees are neutral, 10% employees are disagree & 0% employees are
strongly disagree.
That means, employees of Lanka Bangla Securities Limited are happy about their indirect
rewards..

25

6. The Compensation System of your organization is well structured:

Employee
Satisfaction

Strongly Disagree

Disagree

Neutral

Agree

Strongly Agree

Percentage of
Employees

0%

0%

10%

70%

20%

Percentage of Employees
80%
70%
60%
50%
40%
30%
20%
10%
0%

Percentage of
Employees

Strongly
Disagree

Disagree

Neutral

Agree

Strongly
Agree

I find that, 70% employees agree that their office environment in nice, 20% employees are
strongly agree, 10% employees are neutral, 0% employees are disagree & 0% employees are
strongly disagree.
That means, employees of Lanka Bangla Securities Limited are cheerful about their indirect
rewards..

26

4.2. Findings:
After the analysis I find an overall idea about the Compensation System of Lanka Bangla
Securities Limited.
Employee is extremely pleased with the environment of the organization. They
feel it is a pleasant and safe place for them. So they inspire and effectively
perform the job in their organization.
Employee is cheerful with their compensation which is provided to them. Thats
why 100% employee is whispered; they are satisfied with their Base Pay and get
pleasure to do the work.
Mainly Lanka Bangla Securities Limited is provided medical allowance, house
rent allowances and transportation allowances to their employees. Almost half of
employee is replied they are satisfied with their allowances and 30% employee
replied they are strongly agree with the statement. That means in that part, Lanka
Bangla Securities Limited also take superior place.
In case of relational return the uppermost fraction goes for the neutral option. May
be there is some deficiency of returns. At a standstill, the organization does not
supply their member of staff any employment safety and challenging work
opportunity. But maximum employee is satisfied and happy with the
compensation structure.

So, following the findings we can confidently say that, Lanka Bangla Securities Limited is a
winning company. Because,, this company is successfully provided compensation to their
employees, which construct them happy. Happiness is the power to perform glowing work. So,
Employees do their work dedicatedly; present a tremendous result of their work. And in this
way, Lanka Bangla Securities Limited now a day measured as an Idol Company in Bangladesh.

27

CHAPTER 5
RECOMENDATIONS

28

Recommendations
1. Employees of Lanka Bangla Securities Limited are not satisfied with the relational
returns. Most of them are replied neutral satisfaction level. So Lanka Bangla Securities
Limited will try to provide their employee challenging works like: Job Rotation and Job
Sharing.

2. Organization can offer their employees Mobile, Holiday Allowances to motivate them
more

3. Organization will offer medical and life insurance which will feel them secure.

4. Lanka Bangla can use professional counseling hour to share the problems of the
employee. Through this employee will feel, he is an important person of the organization.

5. They can organize some entertainment facility for the employee behind the work. So that,
employee never feel boring while doing their work
6. Increase the facility of transportation and promotion. So that people feel secure and give
his or her best effort.

29

CHAPTER 6
CONCLUSION & REFERENCE

30

Conclusions
Lanka Bangla Securities Limited is measured as one of the leading company in
Bangladesh. It is a sister concern of Lanka Bangla Limited. And from the very beginning,
it is run effectively in our state. As this report is based on the compensation structure of
Lanka Bangla Securities Limited, So I thrash out briefly the compensation structure of
this company. From first to last this report, I discover the overall information about
Lanka Bangla Securities Limited. Mainly I focus about the compensation structure of this
company. I formulate a inspection where I find out that, employee of this organization
extremely satisfy with their over all compensation structure. Moreover, there are also
some lacking of this corporation. So, I recommend them the solution.

But after the overall discussion it is strongly identified that Lanka Bangla is a Star
Security company of Bangladesh.

31
Lanka Bangla Securities Limited

References
1. Source: Annual Report: 2012 of Lanka Bangla Securities Limited
2. Md. Mahbubul Hasan Khan, Manager & HR In-charge of HR Department,
Lanka Bangla Securities Limited
3.

32
Lanka Bangla Securities Limited