Internship Report On

HR Polices of Bangladesh Bank

Prepared For-

Ms. RAHMA AKHTER

Lecturer, BRAC Business School

Prepared By-

MD.HASAN-AL-YAKUT

ST.ID-13104113

BRAC Business School

BRAC University

Date of Submission

27th November, 2016

HR Policies Of Bangladesh Bank

Letter of Transmittal

27th November, 2016

Ms. Rahma Akhter

Lecturer, BRAC Business School

BRAC University

Subject: Submission of Internship Report

Dear Mam,

Here is my report with the title “HR Policies Of Bangladesh Bank” which is a complete study
on Human Resource department of Bangladesh Bank and the activities that are done by
various wings of this department.

To make this report a commendable one, I have tried my best to assemble all applicable
data by which functions of HR can be properly understood. I trust that it will meet the
standard which I was recommended. Subsequent to breaking down the point I am
presenting this report for any sort through and expression gratitude towards you for ant
steady help and direction. I will be accessible for any grouping of this report, at whatever
point essential.

Yours Sincerely,

____________________

MD.HASAN-AL-YAKUT

ST.ID-13104113

BRAC Business School

BRAC University

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HR Policies Of Bangladesh Bank

Acknowledgement

In the name of Allah the most Gracious and the most Merciful, without whose desire I could
not have completed the internship report successfully under the department of Human
Resources in Bangladesh Bank.

This report is entitled “HR Policies of Bangladesh Bank” and has been undertaken by me, a
student of BRAC Business School Department in BRAC University. It is an attempt to realize
the practical knowledge regarding Human Resource Department of Bangladesh Bank.

I feel proud to express my sincere appreciation and boundless gratitude, best regards and
respects to my honorable supervisor Ms. RAHMA AKHTER, lecturer of BRAC Business School
for her generosity and scholastic guidance, kind supervision, suggestion and constructive
comments in carrying out the internship work.

Also I express my deepest sense of gratitude, sincere appreciation and profound regards to
my official supervisor Md. OSMAN GANI MOLLAH, Deputy General Manager (DGM) of
Human Resources Department in Bangladesh Bank for his consult and kind co-operation
throughout my work experience.

Lastly, I also want to thank all the officers of Human Resource Department in Bangladesh
Bank for the unconditional support that they offered.

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HR Policies Of Bangladesh Bank

Table of Contents
Executive Summary.................................................................................................................... 7
Chapter One ............................................................................................................................... 8
Introduction............................................................................................................................ 8
1.1 Rationale of the study ............................................................................................. 8
1.2 Objective of the Study .................................................................................................. 8
1.3 Limitations of the study ................................................................................................ 8
Chapter Two ............................................................................................................................... 9
Company Profile ..................................................................................................................... 9
2.1 Bangladesh bank the Organization ............................................................................... 9
2.2 Vision ............................................................................................................................ 9
2.3 Mission.......................................................................................................................... 9
2.4 Organogram of Bangladesh Bank ............................................................................... 13
Chapter Three .......................................................................................................................... 14
Research Methodology ........................................................................................................ 14
3.1 Data Collection ........................................................................................................... 14
3.2 Sources of Data ........................................................................................................... 14
3.2.1 Primary Data: ...................................................................................................... 14
3.2.2 Secondary Data: .................................................................................................. 14
3.3 Sampling: .................................................................................................................... 14
3.4 Variables covered: ...................................................................................................... 15
3.4.1 Recruitment and Outsourcing Wing ................................................................... 15
3.4.1.1 Function of RO wing ..................................................................................... 15
3.4.1.2 Recruitment Desk......................................................................................... 16
3.4.1.3 Outsourcing desk ......................................................................................... 16
3.4.2 Planning Promotion and Transfer (PPT) Wing .................................................... 17
3.4.2.1 Responsibilities of PPT Wing: ....................................................................... 17
3.4.2.2 Core functions of PPT wing: ......................................................................... 17
3.4.2.3 Basis for Promotion Evaluation: .................................................................. 17
3.4.2.4 Length of Service.......................................................................................... 18
3.4.2.5 Basis for Promotion ..................................................................................... 18
3.4.2.6 Qualification Marks: ..................................................................................... 18

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HR Policies Of Bangladesh Bank

3.4.2.7 Panel for Promotion..................................................................................... 18

3.4.2.8 Transfer policy ............................................................................................. 18
3.4.3 Enterprise Resource Planning (ERP) Unit ............................................................ 19
3.4.3.1 Branch Office Service unit (BOSU) ............................................................... 20
3.4.4 Organization and Development (OD) wing ......................................................... 20
3.4.5 Reward and Recognition Wing ........................................................................... 20
3.4.6 Performance and Management Wing ................................................................ 21
3.4.6.1 Performance planning for the job: .............................................................. 21
3.4.6.2 EBR (Event Behavior Result): ....................................................................... 21
3.4.6.3 HYR (Half yearly Review) .............................................................................. 21
3.4.6.4 APF (Annual Appraisal Form) ....................................................................... 21
3.4.7 Benefits and Administration Wing ...................................................................... 23
3.4.7.1 Leave Desk ................................................................................................... 23
3.4.7.2 Welfare ........................................................................................................ 24
3.4.7.3 Stipends........................................................................................................ 24
3.4.8 Performance and Discipline (PD) Wing ............................................................... 25
3.4.8.1 Punishments ................................................................................................ 25
3.4.8.2 Reasons for Punishment .............................................................................. 25
3.4.9 Training and Development Wing ........................................................................ 27
3.4.9.1 Main functions of these wings are as follows: ............................................ 27
3.4.9.2 Extra Functions: ........................................................................................... 27
3.4.10 Bangladesh Bank Training Academy (BBTA) ..................................................... 28
Chapter Four ............................................................................................................................ 30
Analysis ................................................................................................................................. 30
4.1 SWOT Analysis of Human Resource Department of Bangladesh Bank ...................... 30
4.2 PESTEL Analysis of Human Resources Department of Bangladesh Bank ................... 30
4.2.1 Political ................................................................................................................ 31
4.2.2 Economic ............................................................................................................. 31
4.2.3 Social ................................................................................................................... 31
4.2.4 Legal .................................................................................................................... 31
4.2.5 Environmental ..................................................................................................... 32
4.2.6 Technological ...................................................................................................... 32

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HR Policies Of Bangladesh Bank

Chapter Five ............................................................................................................................. 33

Findings ................................................................................................................................ 33
Chapter Six ............................................................................................................................... 34
Recommendations ............................................................................................................... 34
Chapter Seven .......................................................................................................................... 35
Conclusion ............................................................................................................................ 35

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HR Policies Of Bangladesh Bank

Executive Summary

Human Resource Department is the frame work for helping employees to develop their
personal and organizational skills, knowledge and abilities. Human Resource Department
provides opportunities as employee training, employee career development, coaching
monitoring, succession planning, identification and organization development.

Bangladesh Bank’s Human Resource Department provides various trainings and they are
able to create such a working environment where bankers gain the experience of leadership
and they are able to work perfectly in different wings. It will be better to introduce
Bangladesh Bank as the supervisor of the banking sector rather than the controller. In this
context, Human Resource Department of Bangladesh Bank can create a huge impact to the
development of the country. The whole process of Human Resource Department is followed
by strategic HR Management with proper tactics.

Bangladesh Bank’s aim should be to provide the required leadership by discharging its
duties in a manner that shows a clear vision, responsiveness and with efficient
communication strategy. Human Resources Department of Bangladesh Bank is very updated
and efficient one, as it produces committed and capable bankers who can guide and
monitor other banks in a progressive manner.

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HR Policies Of Bangladesh Bank

Chapter One
Introduction

1.1 Rationale of the study

Bangladesh Bank is the leading bank of Bangladesh which is the controlling chamber of the
total banking system of the country. In an economic system in a country, bank is called the
life blood of the system. To get an efficient, effective, developed and enriched banking
system for achieving a strong economic goal, a country must require a strong and proper
central banking system. For that reason Bangladesh Bank, as the central bank of Bangladesh
is playing that crucial role of the country. To operate proper central banking role, from the
very beginning Bangladesh Bank has given a strong importance on its human Resources.
Although Bangladesh Bank has given a strong importance strongly on Human Resources, still
now the Human Resources Department is facing a lot of problems. Many professional and
non-professional personnel traced out problems but have not been solved yet. In present
work, the researcher tried to identify the actual and definite problems of human Resource
department and prescribed the proper solutions.

1.2 Objective of the Study

Broad Objective: The objective of the present study is to appraise the HRM practices of
Bangladesh Bank.

Specific Objectives:

 There are some specific objectives as well. The specific objectives are given below:
 To investigate the recruitment, selection and promotion policies of Bangladesh Bank.
 To assess the human resource development policies and practices of Bangladesh
Bank.
 To find out problems of HRD functions, processes, policies and practices.
 To make recommendations for solving problems and future developments.

1.3 Limitations of the study

During the study the researcher faced the following difficulties:

 In preparing this report, it was difficult to communicate with the employees of the
bank because many of them were reluctant to respond.
 As an employee of Bangladesh Bank, there was a limitation not to disclose some data
and information for obvious reasons, which might be very much useful.
 The researcher could not be able to accommodate and spend enough time to make
an in depth study for giving time in my official work.
 No research report was available in the same area. That is why the researcher could
not make any depth study.

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HR Policies Of Bangladesh Bank

Chapter Two
Company Profile

2.1 Bangladesh bank the Organization

Bangladesh bank, the central bank of the country was established as a body corporate vide
the Bangladesh Bank order 1972(P.O.No.127 of 1972) was effect from 16th December,
1972. It took place of the State Bank of Pakistan for the territory of Bangladesh in the stir of
liberation of the country. The office of the Deputy Governor of the state bank of Pakistan in
Dhaka operates as its Head Office. After the liberation war and the ultimate independence
for the Bangladesh, the Government of Bangladesh recognized the Dhaka branch of the
state bank of Pakistan as the central bank of the country and named it Bangladesh bank. The
reorganization was done pursuant to Bangladesh Bank order, 1972, and the Bangladesh
bank came into existence with fair effect from 16th December 1971.

The Powers and the functions of the Bangladesh Bank are governed by various laws and acts
including the Banker’s Book Evidence Act 1891, Insolvency Act 1920, Banking Companies
Ordinance 1962, Foreign Exchange (Regulation Act 1986), Money Loan Court act 1990,
banking Companies Act 1991, Financial Institution Act 1993 and the rules 1994, Companies
act 1994 and Bankruptcy Act 1997. At Present it has ten offices located in Motijheel,
Sadarghat, Chittagong, Khulna, Bogra, Rajshahi, Sylhet, Barisal, Rangpur and Mymensingh in
Bangladesh.

2.2 Vision
To develop continually as a forward looking central bank with competent and committed
professionals of high ethical standards, conducting monetary management and financial
sector supervision to maintain price stability and financial system robustness, supporting
rapid broad based inclusive economic growth, employment generation and poverty
eradication in Bangladesh.

2.3 Mission
 Bangladesh Bank is carrying out its following main functions as the country’s central
bank:
 Formulation monetary and credit policies
 Managing currency issue and regulating paying system
 Managing foreign exchange reserves and regulating the foreign exchange market
 Regulating and supervising banks and financial institutions and advising the
government on interactions and impacts of fiscal, monetary and other economic
policies.

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HR Policies Of Bangladesh Bank

For the Nation

They shall catalyze and support social responsibilities and environmental sustainable
development initiatives, inter alia including fuller financial inclusion of under-served
productions sectors and bringing in needed new dimensions in financial markets and
institutions, to facilitate broad based growth in output, employment and income, for the
rapid poverty eradication and inclusive economic and social progress.

For the Government

They shall adopt and implement monetary and credit policies confirming with national
priorities in coordination with governments fiscal and other macroeconomic objectives. We
shall optimize foreign exchange reserves and return thereon, maintain stability in financial
markets curbing excessive volatility and provides analysis and advice to the government on
issues in economic management and development.

For the depositors in banks and financial institutions, investors in financial assets

They shall ensure safety of deposits in licensed banks and financial institutions with on-site
and off-site supervisions of their activities and with adequate financial information
disclosure requirements, besides insuring small deposits. They shall maintain an interest
rate structure that provides fair return on financial assets while also supporting growth in
the real sector and we shall promote and support development of markets in bonds and
securities.

For banks and financial institutions in Bangladesh

They shall provide precise prudential regulatory, risk management and disclosure
framework to protect solvency and liquidity of individual institution and stability of overall
financial system, acting as lender of last resort if and when needed. They shall issue
regulations and enforce compliance therewith inter alia on capital adequacy, asset
classification, income recognition and provisioning, large exposure and risk management,
through open consultative process. They shall maintain external sector visibility with
exchange rate stability and adequate foreign exchange reserves. They shall provide a secure
and quick payment settlement system. They shall promote and support development of
new financial products, services and instruments.

For Banks Abroad

They shall maintain a solvent, liquid domestic financial system with precise prudential
regulatory, risk management and disclosure framework in line with global best practice
standards. They shall maintain external sector viability with exchange rate stability and
adequate reserves. They shall maintain a secure, quick payment system for settlement of
claims.

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HR Policies Of Bangladesh Bank

For the business community, including farm and non-farm SMEs

They shall maintain liquidity conditions and credit policies ensuring adequate credit flows at
market driven flexible interest rates for all productive economics activities, including in
sectors like agriculture and SMEs where market have not been very responsive. They shall
foster macroeconomic stability through monetary and external sector management. They
shall promote and support development of new financial products, services and
instruments. They shall maintain a secure and quick payment system for settlement of
claims.

For Bangladesh Abroad

They shall facilitate remittances from your earnings abroad to Bangladesh through
legitimate banking channels free of involvement of money launderers or terrorism
financiers. They shall support and promote development new investment opportunities for
your remittances to Bangladesh.

For our employees

They shall maintain an environment that reinforce our pride in being employees of
Bangladesh bank with compensation structure adequate to attract and retain the best in the
market, job assignment and logistically well-resourced work situations encouraging
continues learning rewarding innovations and performance excellence by fast tracking in
career path, clear delegation and delineation of responsibilities and accountabilities,
fairness and objectivity in performance appraisal and personal placement decisions.

Objectives of Bangladesh Bank

 As the central bank of Bangladesh the objectives of the Bangladesh Bank are:
 To regulate currency issuance and to keep foreign exchange reserves.
 To manage the monetary and credit system of Bangladesh with a view to stabilizing
domestic monetary value.
 To preserve the par value of the Bangladesh Taka.
 To Promote and maintain a high level of production, employment and real income of
Bangladesh and to foster growth and development of the countries productive
resources.
 To reserve the all rights of the bank.

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HR Policies Of Bangladesh Bank

Functions of Bangladesh Bank

Bangladesh Bank performs all core functions of a monetary and financial sector regulator
that it is along with a number of other non-core functions. Some of the major functions are
the Bangladesh Bank are as follows:

 Formulations implementations of monetary and credit policies.

 Management of Bangladesh internationals reserves
 Issuance of currency notes
 Regulations and supervisions of banks and non-bank financial institutions,
promotions and development of domestic financial markets.
 Acting as banker to the Bangladesh government
 Regulations and supervision of the payment system
 Money laundering preventions
 Implementations of foreign Exchange regulation Act.
 Managing a Deposit insurance Scheme
 Collection and furnishing of credit information.

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2.4 Organogram of Bangladesh Bank

Governor

Duputy Governor

Excuitive Director

General Manager

Deputy General Manager

Joint Director

Deputy Director

Assistant Director

Officers

MLSS

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HR Policies Of Bangladesh Bank

Chapter Three
Research Methodology

3.1 Data Collection

It is always important and necessary to have a definite methodology to perform this type of
project work. Study followed a certain method to collect information about the Human
resource management practices in the bank. This report is concluded basing on empirical
and study basis. A study on annual report, various statement, brochures and journals of the
bank has been considered to prepare the report. Practical work experience and opinion of
officer’s executive and customers of different levels have also been considered for the
study.

3.2 Sources of Data

This report is prepared mainly on extensive use of secondary data available in different
texts, annual reports, journals, banking related books etc. as well as primary data. The
primary data is collected from employees of the bank by means of informal interviews.
Interview has mainly been conducted with the selected options from assistant directors to
general managers. Above all the main source of the data was personnel of HRD. The inputs
are collected from two sources:

3.2.1 Primary Data:

 Discussion with officials: The primary data is collected from the officials of
Bangladesh Bank. By means of informal interviews. Interviews have mainly
conducted with executives of the bank.
 Personal observation: I have observed at my own to relate my institutional
knowledge into practical field implementation.
 Library: Desk work in different sectors and also from library of the bank.

3.2.2 Secondary Data:

 Bangladesh Bank annual report, 2012-2014.
 Bangladesh Bank staff regulation
 Bangladesh bank disciplinary rules,2003
 Bangladesh bank leaves rules, 2003
 Bangladesh bank expenditure rule, 2003
 Publications of Bangladesh bank.

3.3 Sampling:
There are many departments in Bangladesh bank. The researcher has selected one
department (HRD) for primary data collection. Respondents were chosen randomly from the
department. The sample size was 20.

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HR Policies Of Bangladesh Bank

3.4 Variables covered:

The following variables are used to do the research work,

 Company Profile
 HRD processes Of Bangladesh Bank
o Recruitment and Outsourcing
o Planning , promotion and transfer
o ERP Implementation Unit
o Organization and development wing
o Recognition and reward wing
o Performance Management wings
o Benefits and administration wing
o Performance and discipline wing
o Tanning and development wing
o BBTA
 Analysis and Findings
 Conclusion and recommendations

Computer Software Used:

The researcher used different software to make report more presentable for the reader,
such as- Microsoft Word, Microsoft Excel.

3.4.1 Recruitment and Outsourcing Wing

This wing is in charge of drawing in, selecting and enlisting the right individuals and different
experts for Bangladesh bank, state possessed banks and money related foundations through
a detailed acceptance handle keeping in mind the end goal to guarantee nearness of
qualified and gifted experts. Bangladesh Bank is proud of its highly professional, transparent
objective approach in tis recruitment and selection process.

3.4.1.1 Function of RO wing

The main function of RO wing is the recruitment of efficient manpower of different level
required for the bank. This wing is also responsible for outsourcing of support staff
Peon/MLSS, security Guard, telephone operator, and driver, help Desk Officer, cleaner, Lift
operation etc. This interview is conducted by the team comprising of internal as well as
external professional of the relevant area. The recruitment process for the permanent
employee and outsourcing of the temporary employee is controlled by this wing.

This wings consists of the following desks

 Recruitment Desk
 Outsourcing Desk

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HR Policies Of Bangladesh Bank

3.4.1.2 Recruitment Desk

Recruitment process: Planning, Promotion and transfer (PPT) wing assess the number of
vacant post fulfilling by direct recruitment. PPT wing take approval from competent from
competent authority to fulfill the vacancy. For this they send it to Ro wing for next course of
action.

Steps of recruitment Process are given below:

 Advertisement
 Receding online application
 Open Tender/RFQ for selecting test taking institution
 Conducting written/Aptitude/practical test
 Viva Voce
 Preparation of Panel
 Approval of Panel
 Selection of Candidates from panel
 Primary Police clearance
 Issuing offer letter
 Acceptance of joining letter

3.4.1.3 Outsourcing desk

Outsourcing means hire specialist for the relevant area. Before reorganization,
administration section had been maintaining the function of outsourcing. Now Human
Resource Department will be maintained the wing. It is related to the lower level human
resources. Bangladesh bank wants some human resources from some institutions like
Secures and Ornate securities services Ltd, which are playing a vital role in this sector by
giving some selected persons according to the Bangladesh Bank’s demand and requirement.
Advertisement, selection, contract to such institutions, placement, monitoring and overall
control should be maintained by the Bangladesh bank.

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HR Policies Of Bangladesh Bank

3.4.2 Planning Promotion and Transfer (PPT) Wing

Planning Promotion and Transfer (PPT) Wing of Human Resources Department is
responsible for annual manpower planning which consists of creation, merging and re-
structuring of office, department, division, wing, section, cell, unit, projects and any other
organizational unit. This wing develops policy and procedures of career management. All
kinds of transfer posting according to rules which is needed are issued and implemented by
this wing.

3.4.2.1 Responsibilities of PPT Wing:

 Annual manpower planning.
 Job description, job analysis and job evaluation.
 Career Path/ Broad banding
 Human Resource Strategy
 Manpower Inventory
 Plan for annual promotion and up gradation
 Preparing seniority list, panel for promotion
 Promotion and placement
 All kinds of transfer posting according to rules as and when required.

3.4.2.2 Core functions of PPT wing:

 Job placement for new/probation employees
 Promotion
 Job Rotation
 Transfer, sometimes with in department and sometimes among branches.


3.4.2.3 Basis for Promotion Evaluation:

Criteria mark (Total 100)

No Category Marks
01 Performance Appraisal 70
02 Educational and Professional Qualification 20
03 Length of Service 10
Total = 100

Marks Distribution

Category Marks
Excellent 14
Very Good 10
Good 07
Satisfactory 04

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HR Policies Of Bangladesh Bank

Qualification Mark Distribution:

a)

No Category Marks
01 Masters/Four year graduation 14
02 3 years honors graduation 12
03 2 years honors pass course 09
04 Higher Secondary School Certificate Examination 07

b)

DAIBB (Part1 and Part2) ------------------------------------------------------------------------------ (3 each)

6

3.4.2.4 Length of Service

An Assistant Director in order to be eligible for promotion as Deputy Director must have to
complete a period of 5 years regular service in the position from which they will be
promoted. For each year of successful completion of service 2 marks will be awarded to
employee. The maximum number of years for which marks can be awarded needed to be 5
years.

3.4.2.5 Basis for Promotion

Promotion shall be based on merit and also seniority and suitability at the ratio of 1:1.

3.4.2.6 Qualification Marks:

For attaining merit based promotion candidate must have to obtain at least 89 marks on the
cumulative.

3.4.2.7 Panel for Promotion

A panel will be prepared by the Promotion Assessment Committee on the basis of the
criteria outlined above the governor’s approval. Panel shall be valid till one year (1st
September of previous year till August 31 of the following year)

3.4.2.8 Transfer policy

According to clause 16 of Bangladesh Bank stall regulation, 2003 all employees shall serve
the bank to all brunch or department as selected by the authority from time to time.

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3.4.3 Enterprise Resource Planning (ERP) Unit

Enterprise Resource Planning (ERP) system is the backbone of the firm’s logistics
information system. Human Resource Department of Bangladesh Bank has liked this system
which maintains current and historical data and processes transactions to initiative and
monitor performance.

EPR Unit (HRP System) has:

 Software Application Process (SAP)

 HR and Payroll
 FICO (Finance and control)
 MM (Material Management)

Function of the ERP Unit

 Maintain data warehouse.

 Easy to HRM practices such as recruitments, promotions, selected salary etc.
 Analysis of level of activates.
 Provides information to top management.
 Helps to decision making.
 Maintain internet and intranet.

Material
Management
Modules

ERP
Module
HR and Finance &
Control
Payroll module

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HR Policies Of Bangladesh Bank

3.4.3.1 Branch Office Service unit (BOSU)

This unit was established for quick responses of Head Office its branch office. It maintains a
relationship among other branches of Bangladesh Bank and department. Within 15 days if
branch office didn’t have their answer in each month date of 2nd and 17th, they will send e-
mail to respective Executive Director and BOSU (bosu.hrd@bb.org.bd)

BOSU perform following functions:

 Provides quick service to other departments and branches

 Focuses on pending case.
 Provides services on the basis of e-mail.

3.4.4 Organization and Development (OD) wing

Bangladesh Bank does co-operation with the government, releases funds for various
developmental projects and also ensures timely disbursement of funds for successful
implementation of the projects. Bangladesh bank also has its own projects in the field of
agriculture.

As Bangladesh Bank is also having its own projects they also do an internal valuation with
the other organizations. Functions of Bangladesh Bank are also to research on economic
condition of Bangladesh, they also publish data’s on economic matters and advices the
government on its policy formulation. Bangladesh Bank also plays a vital role to promote
foreign trade of our country and remove balance of trade difficulties through its foreign
exchange police. So this wing helps Bangladesh Bank to work faster and helps to create an
organized development process for our production resources.

3.4.5 Reward and Recognition Wing

To manage and implement effective performance Management system Bangladesh Bank
stores employee’s latest Performance Management System (PMS) rating in database for
promotion process. In order to promote a culture of acknowledgement and appreciation
this wing undertakes the process of rewarding the employees who contribute for
introducing innovation business practices, for corporate image, by following Recognition
and reward policy.

The policy started from 2005 and it is enlisted in Bangladesh Bank Recognition & Reward
(BBR&R), 2006. Among all employees only 5 employees are rewarded or recognized. First
the wing asks to each department for the list of the employees who are capable to get
recognition and reward. In the list details of employee are included. They sort out the list
and then list will be send to the Board of Directors (BOD). After the approval those people
will be rewarded and such honor will be provided on the International Mother Language
Day.

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3.4.6 Performance and Management Wing

The main function of this wing is to measure the performance of employees. Manpower is
the main resources in the modern time. Qualified applicant is more powerful than
unqualified applicant manpower. So performance measured of manpower is the necessary
policy to make manpower as an important element, but this policy is new in HR department
of Bangladesh Bank. Previously Bangladesh Bank followed ACR (Annual Confidential Report)
to measure performance of employee. At present Bangladesh Bank follows PMS
(performance Management System) which is included by some Phases and they are:

 Performance planning for the job

 Performance ERB (Event, Behavior and Result)
 HYR ( Half Yearly Review)
 APF(Annual Appraisal Form)
 ACR(Annual Confidential report)

Functions of these steps are described as follows:

3.4.6.1 Performance planning for the job:

At first Deputy General Manager Set up the goal to give the strategy of the Bangladesh Bank
which is supplied to the department and then that department takes the step to set up the
goal how to achieve the goal according to the division goal. Time should be fixed by the
HOD. To measure the performance of the employee, there is a systematic rating system
after setting the goal to evaluate the employee’s performance.

3.4.6.2 EBR (Event Behavior Result):

Any Employee can show any positive attitude to fulfill his objective but if there are any
negative attitude which indicate his negative performance, this attitude would be shown in
the EBR form to evaluate his performance and then department will take step to give them
coaching, counseling, training and so on to improve their quality.

3.4.6.3 HYR (Half yearly Review)

HYF would be done in the middle of the year to evaluate his or her working completion
schedule. If any employee shows any negligence while completing his duty then tanning or
threat is to be complete the work within the remaining time.

3.4.6.4 APF (Annual Appraisal Form)

In this process performance is to be calculated annually i.e. at the end of the year. ACR
(Annual Confidential Report) would also include in this form. The systematic process consist
the following data:

 Goal
 Weighted %
 Achievement
 Rating
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HR Policies Of Bangladesh Bank

 Weighted rating

BY this method an employee can obtained different points

No Rating Points
01 Excellent 91% and above
02 Very Good 81%-90%
03 Good 71%-80%
04 Satisfactory 61%-70%
05 Unsatisfactory 60% and below

IF there comes any negative gap to any competency problem then they take another action
to overcome the gap. This action plan can be created from the following:

 Comment
 Development needed
 Action Plan

In this method Bangladesh Bank gives the promotion to the employees in their rating
performance. After receiving the APF form for the final measurement, an arbitration
committee/moderation committee is to be made by the HOD to make the system more
logical through biased information. In between the department if there are any linkage,
then upper level authority makes a committee EMT (Executive management team) to
reduce such linkage and then the department achieves the actual rating which they desire.

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HR Policies Of Bangladesh Bank

3.4.7 Benefits and Administration Wing

Benefits and administration wing is involved in providing different benefits and allowances
to employees. This wing also deals with some administrative matters of the bank. The key
functions of these wings can be grouped as follows:

Internal Administration

 Issues circulars of yearly holidays

 Issues circulars on occasional holidays
 Issuance of Identification Number
 Keeping personal file of employee.

Salary and allowances

 Adjustment of pay scale

 Adjustment of allowance
 Festival bonus issues
 Incentive bonus issues

Quarter and Housing allocation

 Applications are invited from eligible employee through circular for accommodation
allotment.
 Quarter is allocated among the employee.
 If any employee takes house building loan to build house at Dhaka, then he/she
could stay at quarter at 10 years.
 If any employee takes house building loan outside Dhaka, then he/she could use the
quarter’s facility.

3.4.7.1 Leave Desk

This desk deals with following types of leaves:

Casual Leave:

Casual leave which is taken by the employees need to deal with their related department in
which they are appointed.

Ordinary Leaves:

This desk deals with keeping records of ordinary leave from employee.

Maternity Leave:

Maternity leave is not counted as an ordinary leave it has been settled as and special leaves
which allows the female employees of Bangladesh Bank to have a leave of six months when
such leave is required

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HR Policies Of Bangladesh Bank

3.4.7.2 Welfare
Re-imbursement of medical expenses:

For operation purpose, not for diagnosis 90% of the total bill will be reimbursed for the
medical expenses of an employee of his/her eligible dependents.

3.4.7.3 Stipends
Governor welfare fund:

The funds are administrated by Board of Trustee (BOT). This stipend is sanctioned for the
daughter/son of the employees of Bangladesh Bank who did well in the Secondary School
Certificate Examination (S.S.C) and also in the Higher Secondary School Certificate
examination (H.S.C). Such facility is offered to the employees of all categories form officers
up to Joint Director.

Bangladesh Bank welfare fund:

Stipends are also sanctioned for the C and D categories employees who have completed and
did well in their Secondary School Certificate Examination (S.S.C) and also in the Higher
Secondary School Certificate examination (H.S.C).

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HR Policies Of Bangladesh Bank

3.4.8 Performance and Discipline (PD) Wing

This wing handles employee’s discipline. This wing initiates disciplinary actions to enforce
organizational standards. They discourage infractions, resolve conflict and take initiative for
arbitration and litigation processes according to Bangladesh Bank regulations.

Internal employees of Bangladesh bank must maintain the rules and regulations of the bank.
Procedures of the wing are:

 If complain comes then the employee is asked for the explanation.

 If the explanation is not convincing the bank will make charge sheet against the
employee.
 On the due date his or her increment will be stopped along with all the benefits.
 Any foreign tanning will not be allowed
 Loans are also being stopped for certain period.
 Inspection team will seat with the employee and try to know full details from him.
 If the employee is not proven guilty then the case will be dismissed.
 If the employee is proven guilty then the bank will take next step according to the
norms of Bangladesh bank staff regulation.
 Before having the punishment that employee can ask for extra time.
 Then comes the final showcase
 For Assistant Director and above the punishment will be declared by the Governor.
 Below Assistant Director the punishment will be provided by the General Managers
of the respected branch.
 Final showcase proceeds and asks for the explanation for the employee.
 After the punishment his or her charge sheet will be closed.

3.4.8.1 Punishments
The punishments that the provided to the employees are:

 Reprimand.
 Delay and stoppage of the promotion or increment.
 Degradation to a lower post.
 Compulsory retirement
 Removal from service
 Dismissal form service.

3.4.8.2 Reasons for Punishment

 Absence from duties.
 Taking part in politics and election.
 Raising funds and subscription.
 Private trade.
 Acceptance of unethical gifts and foreign awards.

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HR Policies Of Bangladesh Bank

 Speculation and investments.

 Approach to members of parliament for unethical benefits.
 Insolvency and habitual indebtedness.
 Radio broadcasting and publication of information or opinion upon confidential
issues.
 Violating Bank decisions.
 Using political or influences for own benefits.
 Misconducts towards male or female colleagues.

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HR Policies Of Bangladesh Bank

3.4.9 Training and Development Wing

Training and development wing manages both local and foreign training and deals with
development to form skilled manpower. For conducting local training Bangladesh Bank
work’s along with BIBM, BIM, BSTD. When they get foreign training offers, first a note with
proper description is presented to the decision makers and then final steps are taken.

3.4.9.1 Main functions of these wings are as follows:

 Assessment of training needs analysis. This wing arranges local as well as foreign
training.
 Nomination of employees who are needed to be trained.
 Training budget preparation.
 Training evaluation.
 Research on new training areas
 Communication with training provides

3.4.9.2 Extra Functions:

 Work for Government sector when they call for nominations for workshop and
seminar.
 Training and development wing works when UNDASA and IMF affiliates with BBTA
and ask for Bangladesh Bank employees.
 Foundation training for the employees is also handled by this wing.
 Various Banks inspection is conducted through this wing.
 This wing provides Assistant Director and above to join a 15 days training session at
NIBA.
 Banking diploma exam falls under local training which is operated by the training and
development wing.

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HR Policies Of Bangladesh Bank

3.4.10 Bangladesh Bank Training Academy (BBTA)

Bangladesh Bank provides training to its employees and also trains the total banking
industry of Bangladesh. They have three types of training,

 In House Training
 BBTA Training
 Out Reach Training

The Head of the BBTA is the Principal who is in charge of the total supervision of the
Training Academy; it is also a part of Head office. Expenditure budget of BBAT is settled by
the Head Office which in Mothijeel. All activity of Bangladesh training academy is divided
into 10 sections and on the beginning of each year an annual program calendar is made by
consulting the head of the Training Academy. 10 wings of BBTA are:

 Administration Wing-1
o Administration.
o Accounts.
o Hostel.
 Administration Wing-2
o Engineering Maintenance.
o Canteen.
o Gardening, Cleaning and Security Supervision.
o Other Related Support Services.
 Training Wing-1
o Diploma in SME Banking.
o Master’s Degree in Inclusive Banking.
o International Training Courses.
 Training Wing-2
o Foundation Training Courses.
o Annual Training Plan (ATP).
 Training Wing-3
o All Types of Request Courses/ Programs.
o Monthly Training Program.
o BBTA Co-ordination.
o Outreach Training workshop, seminar etc.
 Training Wing-4
o Nomination of speaker.
o Seminar, Workshop, etc. for Bangladesh Bank Officer.
o All type of Joint Courses for Bangladesh Bank Officers and others.
 Training Wing-5
o MSME Financing related Issue.
o All Training Courses (as per ATP) for BB Officials except foundation courses.

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HR Policies Of Bangladesh Bank

o Seminars, Workshop etc. for the official of scheduled Bank, NBFIs etc.
 Research and Publication
o Research and Publications.
o Library.
o Courses and Speaker Evaluation.
o Academic council meeting.
 ICT Wing
o Maintenance of IT Equipment’s.
o ICT related Training Workshop and Seminars.
 Statistics Wing
o Diploma in E-econometrics.
o Statistics related Training, workshop and Seminars.

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HR Policies Of Bangladesh Bank

Chapter Four
Analysis

4.1 SWOT Analysis of Human Resource Department of Bangladesh Bank

Strength Weakness

 Sufficient Manpower  Top-down decision

 Sufficient floor space  Unskilled Manpower
 Physical structure  Improper distribution of work load
 Adequate logistic support  Poor IT knowledge of the officers
 Easy access in customer requirement  Inadequate training of HR personnel in
 Cordial working atmosphere and well home and abroad.
communication among the officers
 Availability of documents and papers
that can be manually supplied

Opportunity Threats

 Manpower can be turned to skilled  Professionalism cannot be properly

manpower through training IT observed regarding placement of
Knowledge. manpower and for some unavoidable
 Workload can be reduced by proper reasons.
planning.  Sometimes there is pressure when high
 More scope of extending service to official’s orders need to be fulfilled
internal stakeholders. which is unethical.
 Worked efficiency can be improved
through proper placement.
 Can focus more on the need of the
customer proactivity.

4.2 PESTLE Analysis of Human Resources Department of Bangladesh Bank

Bangladesh Bank is the central Bank of Bangladesh. Human Resource Department of
Bangladesh Bank plays a vital role not only inside bank but also in to total economic and
political infrastructure of Bangladesh. Here a brief PESTEL Analysis on Human Resource
Department of Bangladesh Bank is described below,

PESTLE= Political, Economic, Social, Technological, Legal and Environmental.

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HR Policies Of Bangladesh Bank

4.2.1 Political
Human Resources Department of Bangladesh Bank hold the power of doing recruitment and
outsourcing for Bangladesh Bank and there are some posts that are highly influenced by the
political situation of the country, for example Deputy governor and Governor post of
Bangladesh Bank are the political post that are recruited by the political parties and such
decisions are taken due to the political aspects it creates a great impact as the total
monetary policy are led by them.

4.2.2 Economic
Bangladesh Bank has got experts and economists who are involved in the Board of Director
panel and their main duty is to plan annual budget and they are also involved in the industry
trend analysis. They are mainly known as the think tanks of Bangladesh Bank. This
economist provides Bangladesh Bank by forming task force with a duty to negotiate with
international organization like ADB, World Bank, JAICA etc. Their major duty is to monitor
money flow in our economy so that inflation can remain a tolerable stage. They are also
engaged in deciding interest rates and suggest hoe commercial banks will operate in
Bangladesh. Human Resources Department of Bangladesh Bank conducts the selection
process of these experts through massive research. And thus they contribute in our
economy.

4.2.3 Social
Bangladesh Bank has got their own training center known as BBTA (Bangladesh Bank
Training Academy) at Mirpur and over there they conduct training for both Bangladesh Bank
employees and for other private banks and companies also. Training of various joint courses
is offered which not only increase skills but also enrich the way of working. Seminar,
Workshops and training on different aspects of the country are arranged which helps
Bangladesh Bank to contribute in the social welfare of the country. There is a saying that
Bangladesh Bank provides training to the total Banking industry of Bangladesh.

There are cultural clubs in Bangladesh bank who arranges various functions related with
numerous occasions of our countries culture and traditions.

4.2.4 Legal
Human Resources Department of Bangladesh has got a specific wing which is Recruitment
and outsourcing and there are some specific norms and rules which they need to abide by,
there have been no such incident of breaking any rules for a very long period and due to
having a fear of losing job employees refrain themselves form unethical activities. So it is
obvious that the recruitment process is done in a legal way. Planning Promotion and
Transfer wing (PPT) does all the confidential activates by following all the legal notices and
evaluating the employees for promotion is done under legal authenticity. Apart of that all
other wing provides their services legally and by maintains the banks regulations and
standards.

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HR Policies Of Bangladesh Bank

4.2.5 Environmental
Human Resources Department of Bangladesh Bank maintains the BCD category and the
MLSS employees who deal with external factors of Bangladesh Bank. Bangladesh Bank
plants lots of trees around their premises and on every occasion the plant trees and
contribute funds to keep tree plantation project alive. All the ten branches of Bangladesh
Bank are decorated with beautiful flower trees and they have got a separate unit for
maintaining them. Some initiative were taken by the former Governor to plant more and
more trees in the colony and hostels of Bangladesh Bank which not only highlighted banks
motive but also helped creating a desire for healthy environment in peoples mind.

4.2.6 Technological
Human Recourses Department of Bangladesh Bank invests a huge portion of their allocated
budget in buying high tech machineries and keeps their employs updated with the advanced
technology. In every floor there is high tech security system and each and every employee is
provided with a scan able ID card which they need to punch in every floor while entering. All
the employees are provided with most updated desktop and after every one year new
updates are provided. The security system of the entire Bangladesh Bank is very strict and
Bangladesh Bank invests a huge portion of money to bring updates and improvements in
them.

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HR Policies Of Bangladesh Bank

Chapter Five
Findings

The following findings are obtained from the study:

 Bangladesh Bank follows proper rules and regulations guided by Government or as

per the organizations own policy.
 Bangladesh Bank follows the effective steps of recruitments, formal advertising
evaluation, written test, interview, final selection and placement.
 As per policy bonus, house rent, medical allowance and lunch are the additional
offerings which are separate from salary.
 Violence of rules and regulations is not seen to promote a person.
 Posted employee must learn the task of the specific desk before replacing the
existing employee.
 Medicine facilities are provided for the permanent employee.
 Bangladesh Bank provides financial support for higher studies for both local and
abroad.
 Bangladesh Bank offers various types of loans to the permanent members.
 Employees are sent for training that helps then to be more efficient.
 There are some policies for the permanent employees that they can take on pay
leave if departments consider.
 Employees get appreciation form seniors then they show outstanding performance.

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HR Policies Of Bangladesh Bank

Chapter Six
Recommendations

The Human Resource Department of Bangladesh Bank is running wealthy. Some factors
should be included and be conscious which are suggested below:

 More specialized training and development programs should be undertaken in order

to overcome the lack of efficiencies of the employees. It helps to increase the
employee’s expertise and will give better result to completion of business process.
 Continuous monitoring for all employees need to be done as it will help to identify
any sort of system loss. It will also help to increase the employee performance.
 The employee complaint box should be set up in HRD so that the HR specialist can
realize the employee’s problem and can solve.
 Software Application Process (SAP) should be used widely in all wings of HRD
because this will help Bangladesh Bank to have and manage accurate information
and the chance of mismanagement will get reduced.
 Bangladesh Bank should increase their incentive packages, so that employees can
increase their productivity and turnover rate will decrease.
 Employees should be given opportunity of knowledge sharing such as scope of
presenting and discussing matters and experiences that they learn from foreign
tours and abroad training.
 Performance appraisal should be developed which will be used in performance
improvement, adjustment, placement decisions, career planning and development.
 The limitations of the communication should be analyzed and need to take proper
steps as this is one of the major issue in which Bangladesh Bank is lacking.

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HR Policies Of Bangladesh Bank

Chapter Seven
Conclusion

Bangladesh Bank is the central bank of Bangladesh. Its activities are important for the
development of the people of Bangladesh. Bangladesh Bank has a great role to survive the
other NCBs and private banks in different kind of administration. Human Resource
Management is one of the vital administrative points to control the whole banking system.
If Bangladesh Bank can implement the world class human resource management system
then it can motivate and convince the other banks to update their administration for human
resource management as Bangladesh Bank training Academy provides training to all the
banks in Bangladesh. It has got a huge amount of manpower to do all the functions of this
organization. An organization gains success by producing skilled and effective manpower
and for that Human Resource department of Bangladesh Bank is working day and night and
that’s what I saw while doing my internship. Since as the central bank, Bangladesh Bank is
well known by most of the people, it just need to maintain its activity with proper
dedication and should show consistency in their workflow.

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