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HRM 460 Final Report - HRM practices by PRAN

Human Resource Management (Independent University, Bangladesh)

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HRM Practices at PRAN Group

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Independent University, Bangladesh

Course Title: International Human Resource Management

Course ID: HRM 460
Section: 02

Submitted To
Md. Ashadullah, PhD
Adjunct Faculty, School of Business & Entrepreneurship, IUB

Submitted By
Group ‘PADMA’

Nazrul Islam 1810181

Tania Islam Leka 1910251
Tarek Aziz 1731248
Noor Bin sultana 2020704
Shopnil Ahmed Prachir 1820198

Date of Submission: 10 April 2023

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Letter of Transmittal
To: Md. Ashadullah, PhD
Ast. Professor, Independent University, Bangladesh (IUB)
Bashundhara R/A
Dhaka, Bangladesh

Subject: HRM Practices at PRAN Group

Dear Sir,
Thank you for granting us the opportunity to present our semester project Paper on HRM Practices at
PRAN Group. We gave our utmost effort to assemble all the required information on the context in
which the Research Paper has been constructed. We will be more than glad to clarify your
understanding completely and are eager to answer any questions.

Thank you for all your support which helped us immensely. It is an honor to be your student and gain
knowledge from an experienced faculty like yourself.
Yours Sincerely,
Group ‘PADMA’

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Contents
COMPANY PROFILE .......................................................................................................................... 1

HUMAN RESOURCE MANAGEMENT DEPARTMENT ............................................................... 1

HR PLANNING AND FORECASTING.............................................................................................. 2

RECRUITMENT................................................................................................................................... 3

SELECTION ............................................................................................................................................... 7

TRAINING & DEVELOPMENT ........................................................................................................ 8

PERFORMANCE APPRAISAL ........................................................................................................ 10

COMPENSATION .............................................................................................................................. 10

FINDINGS ........................................................................................................................................... 13

RECOMMENDATIONS..................................................................................................................... 14

CONCLUSION .................................................................................................................................... 15

References ............................................................................................................................................ 15

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COMPANY PROFILE

PRAN-RFL Group contains two Groups, called PRAN-Group and RFL- Group. In 1991, Mr.
Amjad Khan Chowdhury launched his Agro-processing business PRAN (Programme for Rural
Advancement Nationally) with sliced pineapples in cans, moving on to mango drinks, jams, and
jellies, with plans to cater to both local and foreign consumers that have become one of the largest
food and beverage brands in Bangladesh.
Over the years, the company has not only grown in stature but also contributed significantly to
the overall socio-economic development of the country. PRAN is presently perhaps the most
respected food and refreshments brand among the large numbers of individuals of Bangladesh and
other 145 countries of the world where products are regularly being exported.
Pran-Group perceived itself in each class of food industry. It has a wide range of brands including
“Beverages”. It plans to grow their business each edge of the world. As an international brand has
been serving their 200 brands in 10 unique classifications to more than 400 million clients in 110
nations covering 5 geographic areas all throughout the planet through their circulation
organization.
Alongside 16 manufacturing factories in Bangladesh, PRAN has an industrial unit in India and
new units will be opened in Nepal and UAE. It has got undeniable workplaces, stockroom,
dispersion vehicles and deals power with devoted help in India, Malaysia, UAE, KSA, Oman,
Qatar, Ghana, USA, Canada, Spain, Italy, and Singapore.
With a committed group of 1500 individuals for worldwide deals, PRAN is eagerly forceful to
infiltrate the global market and conveys the name to address the organization as the leader food
brand of Bangladesh. More than 150% fare development demonstrates interest for various PRAN
items are developing bit by bit all throughout the planet particularly for the bundled agro food
varieties and beverages alongside confectionary and snack things.

HUMAN RESOURCE MANAGEMENT DEPARTMENT

In modern time, achievement of an organization relies upon its human resources. If an

organization does not look after its human resources but focuses on other assets, the organization
will be fruitless. In this manner, with respect to human resource it should be essentially more wary.

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HRM Practices in PRAN always consider their representatives as their best resource. They offer
qualities to their workers' inventiveness and development to receive best yield consequently.
In order to make HRM department more strategic they have organized the HR department is very
structured way. The chief HRM is the main and the sub departments are recruitment section,
personnel section, training section. These are the main categorized departments that are
coordinated by the chief HRM of PRAN.

HR PLANNING AND FORECASTING

The HR team of PRAN believes that HR planning is an ongoing process. There is no alternative
for a better level of planning to build an efficient organizational structure for the company, to
identify what amount and types of employees the company needs at a given time and the source
of the employee.

• Determination of organizational goals

PRAN is very much aware of the goal of its company. Based on previous experience the HR
team of PRAN determines the number of employees and what types of employees will be needed.

• Collection & Analysis of Information

HRP department of PRAN is directly involved with all departments and different parties. After
making a draft the HR team first collects various data and analyzes data to make them usable. Then
make a planned list by processed data. HRP starts working through processed data analysis on the
company's employee arrival and turnover rates, employee skills, training, experience, education,
etc.

• Forecasting the number of employees

Every year they determined, how many employees and what sort of employees they need to
achieve the strategic goals of the company. They use ratio analysis as their forecasting tool. They
make it based on the ratio between sales vol., and employee required. They also assess the
challenges that will have in meeting their recruitment need based on the external environment.

• Labor market analysis

At this stage, the HR team selects the source of employees required for the organization. Then
analyzes the information obtained from various sources to determine the favorable and optimal
source to find the required employee considering the overall issues of the organization.

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• Surveying turnover possibilities

PRAN always focuses on this turnover issue very rigorously. Because higher turnover lowers the
performance of the organization. Employees working in the organization leave their current
workplace for various reasons. So, they go for surveying turnover possibilities to find out the
reason behind the turnover so that organization can reduce the turnover.

• Recruitment program
Its main purpose is to recruit skilled and experienced staff for the organization. Through this type
of program, necessary employee recruitment, selection, recruitment and placement, training,
development, promotion, transfer, dismissal, demotion, retrenchment, etc. are undertaken.

• Co-ordinate Plan
The organization coordinates between other departments of the organization as well as the
overall program adopted and all other policies through appropriate coordination.

• Setting and analyzing duties and responsibilities

At this stage, what the employee will do, what will be the range of responsibilities and duties are
properly distributed.

• Cost of HRP
At this stage, they determine the possible least cost so that they can accomplish their plan readily.

• Audit and Adjustment

Finally, the check whether everything is working as planned and corrects any deviations, and
takes necessary steps for implementation.

RECRUITMENT
PRAN always looking for top-caliber people who want the flexibility and resources to grow in
their career. If someone is that kind of person who has always stood out, they offer a place where
one can continue to excel. PRAN has thousands of diverse people from different cultures and
backgrounds working in a variety of different jobs in different fields.

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Recruitment Process
PRAN believes that every employee is very important for its company so it takes maximum care
while collecting them. For this, the following steps are followed.
1. Job analysis
2. To invite applications
a) formal advertisement
b) Informal advertisement
c) their own official website
d) Official agencies
e) commercial source
3. Scrutiny of applications
4. Evaluation of applications
5. Tests
6. Specification for selection process

Sources of Recruitment
1. Internal sources 2. External sources

•Internal sources
Recruitment from internal sources is done to fill up vacancies through promotion, labor union,
staff recommendation, transfers and promotions, stabilization within the company.

• External sources
PRAN does external recruitment much because, higher the number of people attracted there is a
higher possibility to get the best employee. Recruitment from external sources is done to fill up
vacancies through advertisement on newspaper, recommendation, educational institutions, former
employees, recruiter, internet and various websites outside the company.

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Fig-1: Advertisement for requirement

Fig-2: Source of External recruitment by Glassdoor

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Designation

Job description

Job specification

Job description

Job specification

Fig-2: A complete Recruitment Advertisement:

Job Responsibilities and Job Description are clearly defined to the candidates.

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SELECTION
Selection means choosing the best fit candidates using some tools and technics (Various
examination e.g., viva, written exam, medical test, assessment). Selection starts where recruitment
ends.

Process of Selection
• Screening and Short-listing Applications: The responses to the advertisements are sorted and
screened. The CVs are judged on first. The employer looks for competence (Knowledge, Skills,
Attitude and Professional passion) in a CV. If everything is OK then the candidate is called via
SMS.

• Written Test: During written test candidates have to answer questions in details. The duration of
the written test is 1 hour. The common pattern of the written test: 50% Math, English, General
Knowledge and rest 50% about the position applied for. Sometimes multiple-choice questions are
added related to IQ.

• Eligibility test: This method verifies whether the candidate has real qualifications for the job. For
example, before selecting a driver for a car, it is seen whether he is fit to drive a car.
• Selection Interview: Usually the interview is taken twice. One before and after the written test or
one after the other.

1. A preliminary interview is conducted which follows the “elimination method”. For example,
initial viva with HR Department or Technical Head or Technical Team about candidate’s previous
experiences according to their CV.
2. Most of the time candidate who passed in written examination is called for the final interview
e.g., viva with the MD or the business head.

• Employment Decision: If the candidate does not have any problem with the terms described in
the job and the company mentioned and discussed in the final interview, he / she will be given an
application blank. That is a standard format of employee-information that includes all the
information the organization needs regarding the personnel. The candidate has to fill this blank
and submit it to the company along with a CV.

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• References and background check: After completing all process check references whether the
given statement is relevant to the candidate and background check for violence record have or not.

• Offering the Role: When the above exercises are done, the applicant is given an offer letter
indicating the compensation bundle, work liabilities, utilities that will be given by the association.
Indeed, even at this stage the chose applicant gets the opportunity to pull out her/himself from the
bid for employment. S/he is in every case allowed to talk about whatever trouble might emerge
with respect to pay structure/offices, and so on the entryway of HR is saved open for any kind of
significant conversation.

1. Verbal offer: The verbal offer of the role to the candidate is given once the employment decisions
and background check have been successfully completed.
2. Written letter of offer: A composed letter of offer sent to the applicant. When the applicant has
verbally acknowledged the position, the fitting letter of offer is coordinated. This letter ships off
the applicant inside a few days of making the verbal offer. An early on bundle likewise shipped off
the effective applicant, alongside the letter of offer. No less than multi week before the individual
initiating in their new position, an arrangement notice will be set on notice sheets as well as the
web.

TRAINING & DEVELOPMENT

Now after collecting the employee, they groomed according to the demand of the organization.
Both training and development programs are skill enhancement programs. Both programs enhance
the skilled level of employees. Every employee must have gone through minimum 6 months’
provisional period where their performances are examined through some test. Based on the results
those tests, an employee gets the exact training what he or she needs most. The employees of
PRAN get two types of training.

On the Job Training: In the case of these types of trainings both job and trainings are ongoing. This
is cheapest of all methods of training & development of an organization. PRAN implement this
method for its’ employee’s training. The employees there learn their job by doing the job with the

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help of supervisors, colleagues and so on. If they doing something wrong, then it is supervisor who
guides them with proper steps immediately.

Off the Job Training:

• Effective Lectures: Lecturing is a quick & simple way to provide knowledge to a large group of
people at once. This is one of the oldest processes of training but this is much effective way of
training from others. This is an open lecturing session for a large group of people about how to
improve their performances. Again, in this session, the employees can ask whatever he wants to
know from the trainer.
• Visual Training: They also have the visual training sessions for their employees. As visual
learning is the best way of learning so they also implement this method in their organization.

Others Training that PRAN practices:

Training Name Description

Sales Training Provides necessary skills of selling.

Provides different types of soft skills and technical knowledge.

Factory Training

Territory sales managers

refresher course Provides how work in smart way and effectively.

To gain a better understanding of the purpose of the role and

Supervisors Training attitude towards the team.

Basic English course To communicate with foreign employees.

Organized training on occupational health in its factories at

Safety Training different places across the country.

Conference and Seminar Every week this session is conducted by HR head to monitor the
Session overall functions of HRM going well.

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PERFORMANCE APPRAISAL
PRAN typically assessing the performance of the employees twice in a year. As a result, they
can easily assess what is the current employee’s performance going on within the organization.
However, PRAN use its own word Gap Assessment like Performance appraisal.

Gap Assessment: Through gap assessment PRAN find out gap if there is any deficiency in the
current performance of the employee and provide necessary training if required any.
Appraisal methods: They are using Management by Objectives method for assessment of their
employee performance.

Assessment committee: PRAN have assessment committee to their company. This committee
make a list of standards and collect performance information. Then start preparing the performance
appraisal document for the employees and evaluate performance against the standards.

COMPENSATION

❖ Functions

Usually, employees are compensated in 2 ways:

1. Indirect Compensation 2. Direct Compensation

1) Indirect Compensation
(a) Protection Program: Medical insurance, social security
(b) Supplemental pay: Sick Leave (14 days in a year), Casual Leave (10 days in a
year,max. 5 days at a time)
(c) Services and Perquisites: Mobile bill, Accommodation, Laptop and mobile
phone,Transportation facility, Lunch facilities (Partially Subsidize).
(d) Retirement benefits: Provident fund
(e) Family-Friendly (Work–Life) Benefits: Maternity Leave (4 months)

2) Direct Compensation
(a) Benefits: Festival Bonus
(b) Incentive Pay: Profit Sharing, Gain Sharing, Commission

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Compensation for manager and non-managerial employees

Fig: Compensation for Outlet Manager

1. Consultant/ RMO
• Festival Bonus: 2
• Lunch Facilities: Partially Subsidize
• Salary Review: Yearly
• Full furnished family accommodation.
• Other benefits as per company policy.

2. Brand Promoter (Female)

• T/A, Mobile bill
• Festival Bonus: 2
• As per company Policy.

3. Veterinary Doctor – DVM

• T/A, Mobile bill, Profit share, Provident fund
• Lunch Facilities: Partially Subsidize
• Salary Review: Yearly
• Festival Bonus: 2
• Others as per company policy.

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4. Territory Sales Manager (TSM)

• T/A, Mobile bill, Tour allowance
• Salary Review: Yearly
• Festival Bonus: 2
• Attractive Salary package.
• Monthly Sales commission.
• Sales Incentive (as per program).
• Salary increment after successful completion of probationary period.
• Laptop & mobile phone with limited ceiling.
• Transportation allowance.
• Long career path
• Other benefits As per Company & Sales policy.

5. Assistant Product Manager (APM)

• Attractive Salary package.
• Monthly Sales commission on overall national sales.
• Sales Incentive as per program.
• Executive workstation in the Head Office.
• Corporate Common transportation facility in particular routes of Dhaka City.
• Subsidized Lunch with minimum cost.
• Individual Salary Account under Corporate Banking privilege.
• Other benefits As per Company policy.

Job Source: Bdjobs.com Online Job Posting

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FINDINGS
HR PLANNING AND FORECASTING
1. They using ratio analysis as their forecasting tool
RECRUITMENT
2. Job Responsibilities and Job Description are clearly defined to the candidates. Sometimes it
is seen that they do not clarify about few matters like, Job location, Age, Gender, Compensation
and other benefits while making a recruitment advertisement.
3. Their leading external source is E-Recruitment.
SELECTION
4.The CV screening and short-listing method used by the organization is satisfactory but they
are doing it by manually which is time consuming.
5. During Selection they are not aware of Health checking
TRAINING & DEVELOPMENT
6. Overall training and development programs are good.
PERFORMANCE APPRAISAL
7. They are using Management by Objectives as a performance appraisal method. This method
is time consuming and conflict with subordinates over objectives.
8. They have their own rating committee. There is a probability to find errors or nepotism in
their rating committee members.
COMPENSATION
9. No government holiday
10. No pay for knowledge
11. In case of non-managerial employees providing benefit is so poor.

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RECOMMENDATIONS
HR PLANNING AND FORECASTING
1. There are several techniques use for forecasting e.g., Trend Analysis, Ratio Analysis, Scatter
Plotting, Regression Analysis etc. But all of them Regression Analysis one of the best
forecasting tools nowadays. Regression analysis is a statistical method that attempts to
determine the strength and character of the relationship between one dependent variable and a
series of other variables. We do Regression analysis for the estimation or prediction of the
unknown value of one variable.

RECRUITMENT
2. They should clarify about few matters like, Job location, Age, Gender, Compensation and
other benefits while making a recruitment advertisement.
3. They can expand their external source e.g., recruitment at factory gate, casual callers,
billboard, different types of employee agency, job fair, agreement with another organization,
telecasting etc.

SELECTION
4. For most of the company in Bangladesh the most difficult part of recruitment is identifying
the right candidates from a large applicant pool. PRAN can take the following initiative to
maximize the right candidates e.g.
- Expansion of external sources.
- They can use Artificial Intelligence (AI) based short listing tools.

5.They should add health checking while doing section

TRAINING & DEVELOPMENT

6. a) Vestibule training can be introduced i.e., training beside the room within the boundary.
b) Different types of hygiene training: Maintaining hygiene is very important in beverage
industry. To maintain hygiene properly they can conduct:
- Food safety and hygiene training.
- Personal hygiene training

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PERSONAL APPRAISAL
7. 360o Performance Appraisal Method which now modern knowledge organizations are using.
8. By knowing Problems, using the right tool, training supervisors, and controlling outside
influences their rating members will able to do right performance appraisal for their employees.

COMPENSATION
9. May keep government holidays for employees.
10. Knowledge based pay should keep.
11. Benefits for non-managerial employees should be increased.

CONCLUSION
PRAN is a recognized and multinational brand of Bangladesh with an widespread sales force all
over the country. So, be a part of such well-known company means huge even if it’s a shorter
period of time. We got really attached towards this company and had a lot of opportunity to learn
new topics about the corporate environment.

References
1. Bangladesh Pratidin. (2019, November 11). p. 09.

2. bdjobs.(2023, April 08). Retrieved from bdjobs:

https://jobs.bdjobs.com/jobdetails.asp?id=986117&ln=1
3. Bdjobs. (2023, April 08). Company Information. Retrieved from Bdjobs:
https://jobs.bdjobs.com/jobdetails.asp?id=986142&fcatId=-1&ln=1&JobKeyword=Pran
4. Bdjobscareers. (2023, April 08). bdjobscareers. Retrieved from bdjobscareers:
https://www.bdjobscareers.com/pran-group-job-circular/
5. Dessler, G. (2016). Fundamentals of Human Resource Management. New York: Pearson
Education Limited.
6. Glassdoor. (2008-2023). PRAN-RFL Center. Retrieved from
Glassdoor:https://www.glassdoor.com/Interview/PRAN-RFL-Center-Interview-Questions-
E530328.htm
7. Kalra, S. (2021, January 01). Come 2021, AI-based tools will shortlist your resume. Retrieved from
Indian Express: https://indianexpress.com/article/jobs/come-2021-ai-based-tools-will- shortlist-
your-resume-7119609/
8. Open School. (2019). Human Resource Management. Dhaka: Open School, Bangladesh Open
University.

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9. Pranfoods. (2023, April 08). Global Reach. Retrieved from Pranfoods:

https://www.pranfoods.net/global-reach/history-overseas
10. Rahman, M. F. (2016, July 5). Business. Retrieved from The
Dailystar:https://www.thedailystar.net/business/global-business/memory-the-man-
who-built-pran- 1250362
11. Wikipedia. (2021, July 09). PRAN-RFL Group. Retrieved from
Wikipedia:https://en.wikipedia.org/wiki/PRAN-RFL_Group

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