Chapter 1

Introduction

1
1.1 Introduction:
Human Resource Management (HRM) is the function within an organization that focuses
on recruitment of management of and providing direction for the people who work in the
organization. Human Resource Management can also be performed by line managers.

Employees are the core resources of any organization, without them, one cannot run their
organization and human resource is conducted with the growth of development of people
toward higher level of competency, creativity and fulfillment. It keep employees become
better more responsible person and then it tries to create a climate in which they
contribute to the limits of their improved abilities. It assumes that expanded capabilities
and opportunities for people with lead directly to improvement in operating effectiveness.
Essentially, the human resource approach means that people better result.

Janata Bank Limited always determine what jobs need to be done, and how many and
types of workers will be required. So, establishing the structure of the bank assists in
determining the skills, knowledge and abilities of job holders. To ensure appropriate
personnel are available to meet the requirements set during the strategic planning process.

This effort is to determine what HRM requirements exists for current and future supplies
and demands for workers. Because this bank believes that the quality work comes from
quality workers who are well motivated and ready to take challenge to provide better
service.

1.2 Origin of the Report:

project program is a pre-requisite for acquiring MBA degree. Before completion of the
degree a student must undergo the project program. Every student under the project
program has to prepare a report based on the project or particular matching with the
Intern’s area of specialization and organizational requirement.

The report writing consists of Intern’s analysis, findings, and achievements. This report
entitled on Human Resource Management practices of Janata Bank Limited is prepared

2
as project report under the supervision and guidance of Fahimul Kader Siddique Lecturer,
Department of Business Administration, Prime University.

1.3 Scope of the Report:

The scope of this report is mostly limited to Janata Bank Limited, as the report is based
on practical observations, and also limited to the related departments of this report. There
was no scope of doing outside surveys except getting some help from secondary data of
other banks.The scope of the study is only limited to the Human Resources Division of
Janata Bank Limited. The report mainly covers on Human Resources Management of
Janata Bank Limited.

1.4 Objective of the Report:

There had been some objectives set forward in doing this report so that it can be
determined what tasks have to done. The objectives of the report are:
 To familiarize with the JBL, its operation and activities, management style and
attempt to realized the gap between the theoretical knowledge with the real
business world.
 Analyze the current performance appraisal format & compensation.
 Identifying inherent problems associated with the format.
 Propose changes mainly in the guidelines, format and management philosophy by
keeping relevance with other processes.
 Understanding of Employee Personnel practices.

Methodology of Study
1.5 Sources of information:
All the information incorporated in this report has been collected from primary sources as
well as secondary sources.

a. Primary sources:

3
Interview with branch manager, operations manager and some other employees of
HRD, Discussion sessions with HR officials in Head Office.

b. Secondary Sources:
 Janata Bank Limited Annual Report 2014
 Job description for each employees of Janata Bank Limited, HR Division.
 Performance appraisal format.
 Performance appraisal guideline provided by the Human Resources division.

1.6 Limitations:
It was very much difficult and inconvenient to prepare a report on human resources
management topic without being attached to the HR department.
Limitation of employment personal.
Lack of practices in human resource management.
 Human resources department was reluctant to provide information, because of difficulty in
accessing sensitive data and information.
 Non-availability of some preceding year’s statistical data.
 The tenure of the internship period is three month. Since Human Resources Division is a
vast area, after doing the regular office works from 10 AM to 6 PM it is not possible to go
through in depth within this short span of time.
 Last three months the division has conducted huge recruitment that limits my involvement
in other working areas of the division.
 The secondary source of information was not enough to complete the report.
 Confidentiality.

4
 Chapter 2
Profile of Janata Bank Ltd.

2.1 Background:
Bangladesh economy has been experiencing a rapid growth since the ‘90s. Industrial and
agricultural development, international trade, inflow of expatriate Bangladeshi Workers’
remittance, local and foreign investment in construction, communication, power, food
processing and service enterprises ushered in an era of economic activities. Urbanization
and lifestyle changes concurrent with the economic development created a demand for

5
banking products and services to support the new initiatives as well as to make channel
consumer investments in a profitable manner.
The Bank has 905 branches across the country and a wide network of correspondents all
over the world. The bank has plans to open more branches in the current fiscal year to
expand the network. The Bank offers the full ranges of banking and investment services
for personal and corporate customer, backed by the latest technology and a term of highly
motivated officer’s and staff. Janata Bank Ltd. is the preferred choice in banking for
friendly and personalized services, cutting edge technology, tailored solutions for
business needs, global reach in trade and commerce and yield on investments.

2.2 Key facts about Janata Bank Limited:

The Banks that were given renew license after the Liberation war are called the
Govt. owned Commercial Banks. Janata Bank Limited (JBL) is one of them that
incorporated as a public limited company under the Companies Act in 1994 and is
governed by banking Companies Act, 1991. The Bank has 905 branches across the
country and a wide network of correspondents all over the world. Since its
incorporation, JBL has proved itself as a true development partner of the
Government in developing the national economy providing efficient banking
services to different sectors of the economy. Some important facts about Janata
Bank Limited are given below:
Name of the Janata Bank Limited
Company
Legal Form A public limited company incorporated in Bangladesh on
April 06, 1995 under the Companies Act 1994 and listed in
Dhaka Stock Exchange Limited & Chittagong Stock
Exchange Limited.
Registered Office Janata Bhaban (7stFloor), 110 Motijheel C/A,
Dhaka-1000, Bangladesh
SWIFT Code JANBBDDH

Web page www.janatabak-bd.com

6
Managing Director Md. Abdus Salam

Company Secretary Md. Mosaddek-Ul-Alam

Auditors M.J. Abedin & co

Capital Structure as Authorized capital BDT 30000 million

on December, 2014: Paid up capital BDT 19140 Million

2.3 The Mission:

Its mission statement is-
“To be the premier financial institution in the country providing high quality products and
services backed by latest technology and a term of highly motivated personnel to deliver
Excellence in banking”.

2.4 The Vision:

There vision statement is-
“At Janata Bank we draw our inspiration from the distance stars. Our team is
committed to assure a standard that makes every banking transaction a pleasurable
experience. Our endeavor is to offer you razor sharp sparkle through accuracy,
reliability, timely delivery, cutting edge technology, and tailored solution for
business needs, global reach in trade and commerce and high yield on your
investment.
Our People, products and –processes are aligned to meet demand of our discerning
customers. Our goal is to achieve a distinction like the luminaries in the sky. Our
prime objective is to deliver a quality that demonstrates a true reflection of our
vision- A committed partner in progress”

2.5 Goal of JBL:

The people, products and processes of Janata Bank are aligned to meet the demand of the
discerning customers. Their goal is to achieve a distinction in the sky. Their Prime
Objective is to deliver a quality that demonstrates a true reflection of our vision-
Excellence in Banking.

7
2.6 The Values:
 Customer Focus
 Integrity
 Teamwork
 Respect for individual
 Quality
 Responsible Citizenship

2.7 Strategic Objectives of JBL:

 Janata Bank’s objectives are to conduct transparent and high quality business
operation based on market mechanism within the legal and social framework spelt
in their mission and reflected in their vision.
 Their greatest with qualitative business as a sustainable ever growing organization
and enhance fair returns to their shareholders.
 They are committed to their community as a corporate citizen and contributing
towards the progress of the nation as their corporate social responsibility.
 Their employees are their backbone. JBL promote employees well being through
attractive compensation package, promoting staff morale through training,
development and career planning.
 JBL strive for fulfillment of their responsibility to the government through paying
entire range of taxes and duties and abiding the other rules.
 They are cautious about environment & climate change & dutiful to make their
homeland a green and clean soil.

2.8 Customer Charter:

JBL seek to build long- term, sustainable beneficial relationship with all the customers
based on the service-commitments and on their underlying values of mutual respect, the
pursuit of excellence and integrity in all their dealings.

 Primary concern is to understand and satisfy customer’s needs and expectations.

Promise to use all means open to establish and understand these needs which are
both mutually beneficial and respect the values and principles in all aspects.

8
  Promise to deal quickly, courteously and accurately with all correspondence.
 Should disagreement arise between customer and bank they undertake to seek a
speedy and equitable solution, which takes account of the rights and obligations,
both parties and is framed in the context of a long term and enduring relationship.
 Believe in openness, integrity, transparency and accountability and provide high
standard of services to the valued customers.
 Create customer value, loyalty and equity, which create customer delight over a
lifetime of patronage.
2.9 Recognition:
Janata Bank Limited was rated by Credit Rating Agency of Bangladesh limited (CRAB)
on the basis of Audited Financial Statements as on December 31, 2014. CRAB has
assigned “A1” (pronounced as single A One) rating in the long term and “ST-2” in the
short term to Janata Bank Limited. A1 level of rating indicates strong capacity for timely
payment of financial remittance, with low likeliness of being adversely affected by
foreseeable events. Banks rated ST-2 category are characterized with commendable
position in terms of liquidity, internal and generation and access to alternative sources of
funds of outstanding.
Moreover, Janata Bank won the prestigious “Certificate of Merit “of ICAB National
awards 2013 and Bangladesh Awards 2014 for the outstanding performance in the field of
remittance collection through banking channel. It also got Best Bank Award and CSR in
2014.

2.10 Management Hierarchy of Janata Bank Ltd:

9
The Managing director heads the management team of Janata Bank Limited. Several
management committees have been formed to handle the banking operation and
identifying and managing risk. The committees are MANCOM, ALCO. As peBangladesh
Bank’s instruction “BASEL II Implementation team” has been formed which will be
responsible for proper implementation of BASEL II capital adequacy guidelines in the
Bank. The guidelines have been issued Bangladesh Bank recently but the target date for
the implementation was 31st November, 2014.

2.11 Organizational structure of Janata Bank Limited

Organizational hierarchy and Designations are in ascending order

Top Management Chairman

Board of Directors
Executive Committee
Managing Director
Executive Level Management Deputy Managing Directors
General Manager
Deputy General Manager
Asst. General Manager
General Manager
Deputy General Manager
Mid Level Management Asst. General Manager
First Asst. General Manager
Junior Level Management Senior Executive Officer
Executive Officer
Asst. Executive Officer
Junior Officer
Assistant Officer

Chapter 3
Theoretical aspects
10
3.1 Introduction:
Human Resource Management (HRM) is the function within an organization that focuses
on recruitment of management of and providing direction for the people who work in the
organization. Human Resource Management can also be performed by line managers. It
is the organizational function that deals with issues related to people such as
compensation, hiring, performance management, organization development, safety,
wellness, benefits, Employee motivation, communication, administration, and training.
The Human Resources Management (HRM) function includes a variety of activities, and
key among them is deciding what staffing needs you have and whether to use

11
independent contractors or hire employees to fill these needs, recruiting and training the
best employees, ensuring they are high performers, dealing with performance issues, and
ensuring your personnel and management practices conform to various regulations.
Activities also include managing your approach to employee benefits and compensation,
employee records and personnel policies.
Usually small businesses have to carry out these activities themselves because they can't
yet afford part or full-time help. However, they should always ensure that employees
have their own rights and are aware of personnel policies which conform to current
regulations. These policies are often in the form of employee manuals, which all
employees have. The market place for talented, skilled people is competitive and
expensive. Taking on new staff can be disruptive to existing employees. Also, it takes
time to develop 'cultural awareness',
Product/ process/ organization knowledge and experience for new staff members. Human
resource management does this job.

3.2 Units of HR:

There are three units in Human Resource Division of Janata Bank Ltd.:
1. HR Staffing
2. HR Operation
3. Training & Development

By doing all these functions Human resource management does its job.
3.2.1.HR Staffing:
Activities in HRM concerned with seeking and hiring qualified employees is Staffing.
A company needs a well defined reason for needing individuals who posses specific
skills, knowledge and abilities to specify the job. Employee referrals can produce the
best applicants for two reasons. First, current employees screen applicants before
referring them. Second, current employees believe that their reputations with the firm
will be reflected in the candidates that they recommend.

Activities in HRM concerned with seeking and hiring qualified employees is Staffing.

12
A company needs a well defined reason for needing individuals who posses specific
skills, knowledge and abilities to specify the job. Employee referrals can produce the
best applicants for two reasons. First, current employees screen applicants before
referring them. Second, current employees believe that their reputations with the firm
will be reflected in the candidates that they recommend.
Three officers are working in HR staffing unit. They perform the following activities-
a. Recruitment & Selection
b. Leave Management
c. Personal Dossier Management
d. Disciplinary Matters

a. Recruitment & Selection:

Recruiting is the initial step of staffing. Recruiting is the process of locating,

identifying, and attracting capable employees. Many companies are finding new
employees on the World Wide Web. The source that is used should reflect the local
labor market, the type or level of position, and the size of the organization. Now the
second step of Staffing, that is strategic HR planning. For that a company plans
strategically. They set goals and objectives, these goals and objectives may lead to the
structural changes in the company.
Third step is selection. This process is attracting qualified applicators and discouraging
the unqualified applicants. By this a company can get its desired employees of
requirement. It has dual focus, attempting thin out the large set of applications that
arrived during the recruiting phase and to select an applicant who will be successful on
the job.

For selection of candidate’s things that are taken into consideration includes
appearance, attitudes, knowledge, qualification, Communication skill, Job knowledge
(for lateral entry), etc.
To achieve this goal, companies can use a variety of steps. The employees who are able
to do all the steps and ensure good performance they get the job. HRM must

13
communicate a variety of information to the applicants, such as the organization
culture.

Under the selection process there are some steps:

Fig: Steps of Selection Process

The company can use these steps to select the employees. With this process their
Staffing job is done. The completed selection process ends the staffing functions.
The company can use these steps to select the employees. With this process their
Staffing job is done. The completed selection process ends the staffing functions.

b. Leave management:
Leave is earned by duty. Leave cannot be claimed as a matter of right, and leave
admissible under the service rule of Janata Bank Ltd. may be granted by the Managing
Director or his authorized person, who may refuse leave, grant leave for a shorter

14
 period than applied for, revoke leave of any description and recall an employee before
the expiry of the leave.
One Principal Officer is looking after the leave matter of employees and keeping leave
records. Employees of our bank are enjoying following leave:

Earned Leave: 30 days in a year as per service rule of JBL.

Casual Leave: 20 days in a year.
Sick Leave: 15 days in a year + conditional additional sick leave allowed by the
mgt. as per service rule of JBL.
Maternity 6 months for each issue up to two children.
Leave:
Quarantine 14 days in case of diseases this may be spread out in office.
Leave:
Pilgrimage 14 days once during the service life.
Leave:
Extraordinary As per the rule of the bank.
Leave:
Study Leave: As per the rule of the bank.

Casual leave is usually processed in respective branch/division by the respective manager

& head. All other leaves are processed by the HR Division. The leave application along
with recommendation of head/manager sent to the HR Division and processed by the
concerned officer of the division. LFA also processed in HR Division and disbursement
also been done centrally by HR Division. Most of the processes & records are manual in
nature. The HR Software SCALED has little support in this regard.
c. Personnel Dossier Management:
All employees’ history and records are kept in personal file of each employee. Employee
related data are also stored throw HR software SCALED (Skill set Competency
Assessment for Logical Evaluation and Development). All files are kept safely in the File
Cabinet of HR Division.

d. Disciplinary Matters:

15
All employees are subject to disciplinary measures and liable to different penalties based
on the degree of infringements of Bank’s policies, dereliction of duty, and breach of
contract, discipline and misconduct.
Disciplinary Procedures:
Management may initiate disciplinary proceedings against any staff member on grounds
of misconduct or misdemeanor. No disciplinary proceeding shall be drawn up unless
these procedures are followed:
 An enquiry committee shall be formed by the Managing Director
 A preliminary enquiry is held into charges and the prima-facie case is made out
based on the findings of the enquiry
 Charges should be drawn up and a copy therefore is given to the offending staff
member by Human Resources Division.
 Depending upon the gravity of the misconduct, the staff members may be placed
under suspension pending enquiry and disposal of his/her case.
 The staff member is given one week’s (7 working days) time to explain his/her
circumstances / conduct
 A detailed enquiry is held based on the explanation of the staff member during
which he/she is given a personal hearing.

3.2.2. HR Operations:
HR operations unit mainly work in the area of short term and long-term benefits of the
employees of JBL, like salary, bonus, provident fund, gratuity, super annuation fund, etc.
 Monthly Salary Disbursement
 Preparation and disbursement of Festival Bonus and Performance Bonus
 Employees Final Settlement.
 Staff House Building Loan
 Maintain liaison with different hospitals, which are under the corporate agreement
with Janata Bank Limited.
 Submission of various Salary related MIS report to the Management &
Regulatory bodies.
16
  SBS Reporting
 Work as System Admin in HR department
 Assist in Appraisal Management
 PF Loan disbursement
 LFA disbursement
 Investment with the gratuity and PF fund
Employee Tax processing, etc.

3.2.3.Training and Development:

Training is one of the important activities of human resource management. In the

training process companies try to motivate and train the employees in a manner
so that they can work more effectively in the future. Under the training process
there are some steps they are given below:

a. Employee orientation:
Employee orientation provides new employees with the basic background
information they need to perform their jobs satisfactorily. Companies arrange an
orientation program for the employees.

In an orientation program the employees should feel-

 feel welcome
 understand the organization in a broad sense
 be clear about what the firm expects in terms of work and behavior
 begin the process of socialization

b. Employee training:
There is some process, method and techniques of employee training. A company
follows the all the steps of training to provide the employees a good look on their
work.
c. Employee development:
Employee development is like the output of training. In development stage
employees are motivated after their proper training. The development of an
employee can be organizational. Organization development aims to change the

17
 attitudes, values, and beliefs of employees so that the employees can identify and
implement changes.
d. Career development:
The career development stage is given below:

 Pre transition: Is simply looking for a job and preparing oneself for a
career.
 Transition: An individual is already having a job and developing oneself
for future career or moving to another career.
 Preferred area: An individual prefers a specific sector of the career.
 Early stage: First 1-5 years of career is called early career.
 Mid career: 5-20 years after the career starts.
Late career: Late career starts after 20 years of job life
 Retirement: And finally after completing the stages of career and individual
decides to retired.

To achieve the ultimate goal JBL Human Resources Division is committed to upgrade
professional acumen by enriching knowledge and skill and by developing positive
attitude and motivation to provide excellent customer service to bank’s judicious
customers.
Two officers (one Principal Officer & one Assistant Officer) looking after the all training
& development related activities of JBL. They also look after the HR contractual
employee of the bank and third party contractual employee. HR Division continuously
working hard to ensure that, the employees have the necessary skills to carry out their
particular job.

18
19
 Chapter 4
Analysis & Findings

4. Introduction:
Employees are the core resources of any organization, without them, one cannot run their
organization and human resource is conducted with the growth of development of people
toward higher level of competency, creativity and fulfillment. It keep employees become
better more responsible person and then it tries to create a climate in which they
contribute to the limits of their improved abilities. It assumes that expanded capabilities
and opportunities for people with lead directly to improvement in operating effectiveness.

Essentially, the human resource approach means that people better result. Janata Bank
Limited always determine what jobs need to be done, and how many and types of
workers will be required.

So, establishing the structure of the bank assists in determining the skills, knowledge and
abilities of job holders. To ensure appropriate personnel are available to meet the

20
requirements set during the strategic planning process. The banks believes that the quality
work comes from quality workers who are well motivated and ready to take challenge to
provide better service.

4.1 Recruitment, Selection & Hiring:

Janata Banks recruitment policy is to attract staff members of the highest caliber
appropriate to job requirements under employment terms and conditions that are
responsive both to the Organizations’ needs and the staff member’s well being. The
highest quality of human resources will be the standard in hiring of JBL employees. New
or available positions will be open to existing (job posting) and outside individuals on
competitive basis. Janata Bank Limited is an equal opportunity organization allowing no
discrimination on grounds of gender, religions caste or creed. All recruitment of
permanent staff / employee will be processed centrally at the Head Office Human
Resources Division (HRD).

Recruitment Whenever there is a need to fill in a vacancy, the concerned division

involved will raise an ‘Employee Requisition Form’. This form along with the Job
Descriptions and Persons Specification, thereafter, should be forwarded to the Human
Resources Division for processing.
A. Types of Recruitment:

a. For Internal Recruitment:

The principal methods are-
 Job posting
 Use of computerized skills inventories
 Referrals from other departments
b. For External Recruitment:
Organizations rely on-
 Advertisements
 Public or private placement agencies
 Field recruiting
 Including campus recruiting
 Internships

21
 B.Point of Recruitment:
There are two level of recruitment.
a. Entry level
b. Lateral entry ( Recruitment of experienced person)

a. Entry level:
There are two entry level post for recruiting fresh graduates and post graduates.

These are:
i. Executive officer (EO) Level
ii. Assistant Executive Officer (AEO) Level

i. Probationary officer (Entry level both categories):

Probationary officers are confirmed as officer after successful completion of one year
probation period. Probationary Officers are recruited throw completive written exam
which is taken by IBA. After taking exam top scorers are invited to appear the
interview of management committee. After appearing the interview they have to face
an interview in front of Board of Directors.
For recruiting Probationary Officers advertisement are given in daily newspaper and
web site also. Only online applications are acceptable for Probationary Officers (PO).
They have to apply throw bdjobs.com. bdjobs supplies the database of CVs or resume
to JBL HR. HR team then short lists the resume of the candidates. Only short listed
candidates are invited for appearing the written exam. Short-listing criteria’s are given
in the circulars. There are some subjects, which are preferred for short listing.
These subjects are:
 MBA (Major in Accounting, Finance, Marketing, HRM, MIS etc.)
 English
 Statistics
 Economics
 Mathematics
 CSE
 Development studies

i. Assistant Executive Officer (AEO) Level:

22
 AEOs are confirmed as assistant officer (AO). AEOs are recruiting from walking CVs.
Usually, one written exam is managed by JBL management has taken for recruiting
AEOs followed by one Viva.
If the vacancy involves an entry level position in the Executive management cadre and
if it is decided to fill in the vacancy by way of promotion, the prospective candidates
will have to undertake a written test and go through a Selection Board interview, as
decided by the management. The functional Head, in consultation with the Head of HR,
will recommend the most suitable person scoring
b. Lateral entry (recruitment of experienced person)

There are recruitments for experienced bankers, which is called lateral entry. Length of
services, job responsibilities, revolutionary background etc. is taken into consideration
for the lateral entry.
Selection:
a. All prospective candidates are required to complete an ‘Application Form for
Employment’. The HR Division along with the concerned Function Head will be
responsible for processing applications, screening applicants, and short listing
qualified candidates.
b. The HR Division contacts the qualified candidate/s and arranges appropriate tests
for any position to identify the potential of the candidates based on Job
Description and Persons Specification

c. Written tests for appointment will cover the following areas:

 Knowledge in English
 General intelligence, knowledge and numeracy.
 Computer skills
 Knowledge in relevant Functional area
Written or Job Tests:
It is mandatory for short-listed candidates to sit for a written test for the post of
Probationary Officer and Probationary Assistant/Assistant Cash Officer.

23
Apart from the above, for other positions, as decided by the Management, candidates
short-listed may be required to sit for written test and or a practical job related test and or
formal interview

A. Interviews:
The interview panel authorized by the Managing Director will finalize its
recommendation as soon as the interviews are completed. No expenses will be
reimbursed to the candidate to attend interview/written test.
B. For positions from GM and above:
Preliminary interviews are to be conducted by the Managing Director who will
recommend the best candidates to the Board / Executive Committee for final decision.
C. For positions from Officer to DGM:
Preliminary interviews are to be conducted by the respective Selection Committee. After
the preliminary interview, it may be decided to put the Short listed candidates to written
tests, if necessary. Based on the result of written test and or interview results, the short
listed candidates will be chosen for final selection.
D. Appointment / Hiring:
All appointments to the Bank of any nature must be processed through Human Resource
Division.
i. After final selection, appointment letter(s) will be issued to the candidate(s) for
Deputy Managing Director, General Manager by the Managing Director with the
consent of the Board/Executive Committee.
ii. The Managing Director will make job offers to the selected candidate/s from the
level of Support Staff, Trainee Assistant Officers to Executive Vice President
Position.
iii. Background checking, Clarification/Verification from the last employer obtained
through classified correspondence.
iv. The selected candidates will be issued with a letter of Appointment, detailing the
terms and conditions of service, a five years Indemnity Bond (duration of the bond
may be decided by the Managing Director / Management), which will be signed
and returned to the Bank as his/her acceptance of the offer.

24
 v. Probationary Officers and Trainee Assistant Officer / Trainee Assistant Cash
Officer along with the Letter of Appointment shall sign a five years Indemnity Bond
that is mandatory.
The appointment letter state clearly about;
 The post/position
 The remuneration/salary
 The service benefits
 Income tax deduction information
 The probationary period
 The reporting date, time and place
 Notice period required by either party for termination of
appointment
 Validity (duration) of employment offer
 Candidates must submit the letter of release from previous employer on
the date of joining.
 Police verification is mandatory for the Cash Officer and Security
personnel.
 All offers of permanent employment will be subject to pre-placement
medical checkup by the Bank nominated doctor / a recognized doctor and
satisfactory reports/certificate of references. Medical check up to be
carried out by the Bank’s designated Clinic / Hospital / Doctor.

All appointment shall be made at the minimum pay of the grade, but in cases where
persons to be recruited possess additional experience or special qualifications, or
both, the competent authority may allow a higher initial pay in the scale of pay of
the grade.

e. Age limit:
No person shall be appointed in the service of the Bank as Probationary Officer
/Trainee Assistant Officer/ Trainee Assistant Cash Officer, who is below 18 (eighteen)
years of age and above 30 (thirty) years of age in respect of direct fresh recruitment.
25
This age limit may relaxed by the competent authority / Managing Director in
exceptional cases. For lateral entry the age limit shall be as decided by the Managing
Director.
f. Medical Fitness:
No person shall be appointed in the service of the Bank unless the person has been
certified physically fit by a qualified medical practitioner acceptable to the Bank or as
defined by the Bank.
g. Gradation:
Employees of the Bank shall be graded as may be decided by the Board from time to
time.
h. Service Register: Complete service records / dossier shall be maintained by the
Human Resources Division at Head Office for all employees. Branches shall maintain
shadow file for employees working in the respective branches.

i. Probationary Officer:
I. All new hires of Probationary Officer category shall have a probationary
period of one year. However, this period of probation may be extended by
an additional period, if the management feels employees has not made
adequate progress in his/her job within the probationary period. After
successful completion of one-year probation period they will be confirmed
as Officer.

II. The management will assess their progress in the job during the
probationary period within which a decision to confirm or terminate or
extend their probation will be taken and communicated in writing.
III. The management may decide to reduce the period of probation, if it
satisfied that the probationer has shown significant progress in the job at
any time during the probationary period.
IV. During the probationary period, except otherwise advised/instructed by the
management, no benefit shall be allowed. On confirmation, a staff member

26
 will be entitle to receive all admissible benefits as per the Employee’s
Service Manual of JBL
V. During the probationary period, no leave except sick leave will be
admissible. However in case of an emergency, leave with pay may be
granted as a special case, which will be adjusted against future Earned
leave entitlement.
VI. Normally, probationary periods will be as follows:

Grade Probationary period Probation Extension

Probationary Officer 12 months 3-12 months
Probationary Sr. Officer 12 months 3-6 months
Support Staff 03 months 03 months
Officer and above To be decided by the N/A
(Experienced) Managing Director (if
required)

j. Confirmation:
I. Prior to the end of the Probationary Period, an assessment will be made
about the employee’s suitability. Assessment Form shall be impacted by
the HRD to concern Branch/Division Head.
II. The authority to confirm an employee in any grade shall be decided by the
Managing Director.

k. Induction/Orientation:
All new recruits must undergo an Induction / Orientation program, in order to
familiarize themselves with the organization’s culture, norms, rules and
regulations so that they know what is important in the organization and what they
are supposed to do. Induction helps an employee to become effective member of
the organization. Janata Bank Training Institute shall arrange a Basic Banking
Training Program for the TAO/TACO & Probationary Officers.

4.2 Career Advancement:

27
It is the Bank’s policy to ensure that each employee is developed s fully as his ability,
performance and opportunity within which the Bank may permit. To this end periodic
reviews will be made to determine the performance and potential of employees and, if
necessary, the training required to enable them to progress to more senior positions. It
must be made clear, however, that promotion can take place only if the following
conditions are satisfied:
1. The Employee is proficient satisfactory to fill a higher position
2. There is a vacancy at the higher level
Opportunities for employee advancement will be created through exposing them to
challenging job/responsibilities that enable appropriate development of the employee.
Individual career planning is expected on the employee’s own initiative and in
coordination with Human Resource Division, individual or Group Counseling / Coaching
will be provided by HRD.

4.3 Personnel Records:

Personal history of all employees will be recorded in the Computerized HR Information
Management System of the Bank. Personnel files / dossiers will also be maintained for all
employees at the Head Office Human Resources Division. Each file will contain:
(i) The Job Application, CV, Educational Credentials and References (if required)
available;
(ii) Appointment Letter and Letter of Acceptance confirming willingness to abide
by the personnel policies, Code of conduct, Ethical Standards, Confidentiality
Standard and rules in service manual;
(iii) Job description; completed Personal History Form.
(iv) Confirmation, Increment, Promotion and Transfer records
(v) Leave (Subsidiary Dossier)
(vi) Other relevant papers (e.g. Warning letters, Show Cause Notice etc.);
(vii) Annual / period performance appraisal record training etc.

Such records will be regularly updated with additions and changes as may be necessary
from time to time. Head Office HRD shall strictly maintain confidentiality of the

28
filed/dossier. Branches shall maintain shall shadow file / dossier for employees working
in the respective branches.

4.4 Pay Policies of Janata Bank Ltd.

a) Remuneration
Competitive remuneration will be offered to attract and retain qualified and capable
human resources. The benefits system will support performance-based thrust of the
human resources system. At the time of appointment, each employee’s salary is
determined based on level of accountability, responsibility, professional experience,
educational background, and past performance. Payment on appointments shall be made
at the minimum pay of the grade, but in cases where persons to be recruited possess
additional experience or special qualifications, or both, the management may allow a
higher initial pay in the scale of the pay grade.
b) Salary
Monthly salary shall mean the sum total paid monthly as per pay structure including
allowances before deduction of provident fund, tax, hospitalization insurance premium (if
any) amount.
Gross salary is the sum total of the basic salary, house rent, house maintenance, medical
allowance, entertainment allowance, technical allowance (if any), conveyance allowance,
utilities allowance, telephone allowance, Bank’s contribution to provident fund, gratuity,
festival allowances (if any), Leave fare assistance and any other allowances where
applicable as per service rule of the bank.
c) Provident Fund
There shall be a fund called “Janata Bank Limited Employee’s Provident Fund” which
will be governed by a separate Provident Fund Rules approved by the Board. All
permanent employees shall compulsorily be the members of Provident Fund.
d) Gratuity
Every confirmed and full time employee who has rendered seven years continuous
service in the Bank or more, a gratuity equal to one month basic salary for each
completed year of service may be granted to him on retirement/resignation/ termination

29
or to his family in the event of his death while in service. The dismissed employee shall
not be entitled to any gratuity.
e) Loan Facilities
An employee of this organization enjoys various loan facilities like- House Building
Loan, Car loan, Furniture and Household Electronic Items Loans. Under some schemes
the employees enjoy interest free loan facilities. Employees are in higher post enjoys
more amounts of loan facilities.
f) Medical Facilities and Health Insurance
Reimbursement of medical expenses incurred will be restricted to the treatment of
employee, their spouses and for a maximum of two dependent children up to the age of
21 years. In addition to that immediate family member who are wholly dependent on the
employee and residing with the employee shall also be included. Reimbursement of
medical expenses will be made at actual but not exceeding total amount of three (3)
basics of the concerned employee. An employee will allow the reimbursement of the cost
of maternity twice during the entire tenure of his service with the bank.

4.5 Performance Appraisal:

1) Purpose:
Annual Appraisal on each staff member’s performance is undertaken in order to:
(i) Assess the staff member’s performance in the light of his/her job
responsibilities.
(ii) Give the staff member feedback on his/her strength & limitations.
(iii) Enable the staff member to discuss any factor, which impends the
achievement of the agreed performance.
(iv) Set objectives mutually for the performance and identify training and
development needs for the following year.

2) Appraisal:
(i) A staff member will have a formal appraisal of performance once a
year.

30
 (ii) Appraisals are conducted by the Superior who supervises the work of
the concerned staff Members. This is done in a constructive and
supportive atmosphere and employees are encouraged to participate
fully, and to voice any concern issues they may have.
(iii) Performance is to be measured against standard, which must be
objective and job-related and agreed with the appraise earlier.
(iv) All appraisals will be reviewed by the appraiser’s Manager to that the
appraise was appraised fairly and competently.
(v) Between formal annual appraisals, a superior may conduct a special
appraisal. This would be to record any unusual circumstances of
outstanding performances as well as poor performances.
(vi) All appraisals are to be discussed with an employee.

3) Set of Objectives:

a. Criteria for Setting Objectives:

 Specify the desired result what task will be accomplished if the objective
is achieved?
 Make the result measurable can you differentiate among different degrees
of achievement?
 Set a time frame by what date must this goal be achieved?
 Discuss any cost consideration how much, if anything, will achieve in
terms of money and resources?
 Are there specific budget guidelines that must be adhere to?

b. Attributes of High Performers:

 Team Player
 Customer focused
 Action Oriented
 Analytical Thinker
 Innovative
31
  People skills
 Resource fullness
 Enterprising
 Risk Taking
 Getting things done
 Working Long Hours
 Flexibility
 Long Term Perspective
 Balancing Life and Work
 Decisive

4.6 Promotion/Up-gradation
Promotion cannot be claimed as a matter of right and all promotions shall be made on
merit and no employee shall have a claim to be promoted to a higher grade by virtue of
his seniority alone. All promotions shall be made be on the basis of Performance and
different criterion laid down by the Management from time to time.
An employee may get Accelerated promotion once within a year based on his/her
performance.
a) Promotion in Executive Grade
An employee promoted to Executive grade from Senior Principal Officer (SPO) may
need to sit for written examination or face Viva after duly recommended by his/her
supervisor and supported by the concern Head of the Division/Department/Unit/Branch
in the Performance Appraisal
b) Promotion in Officer Grade
i. An employee may be directed to officiate in a higher post for a
temporary period for which s/he shall not be entitled to the salary of
the post in which he officiates. An employee so officiating will be
reverted to his substantive post when such temporary vacancy ceases
to exist. Such posting should be seen as giving an opportunity to the
employee as recognition of his competency as well as proficiency.

32
 ii. Promotional increases will be awarded on progress to a post in a
higher salary range.
iii. In the event of an employee being promoted to a higher job grade,
he/she receives an additional increment in his/her basic salary as
promotional benefit, in addition to his/her regular annual increment in
the previous grade. Both promotional benefit and the annual increment
(if any) should be taken into account while fixing his/her salary in the
new grade.
iv. In case his/her new salary falls short of the starting salary of the new
job grade, the employee will be given the differential between his/her
salary and the starting salary of the new job grade.

4.7 Bonus:
1) Festival Bonus:
(a) An employee in regular employment will be entitled to two Festival
Bonuses per year, each equivalent to one month’s basic salary. One
payment of Festival Bonus will be made to all employees at the time of
Eid-Ul-Fitr. The second payment will be made to the employees at the
time of theiir own religious ceremony as per their option (eg. Eid-Ul-Ajha,
Buddha Purnima, Christmas, Durga Puja).
(b) An employee, who will be on the Payroll of the Bank on the day of the
Festival Bonus, is paid out, will only be eligible for the payment/bonus.

2) Performance Bonus / Profitability Bonus / Incentive Bonus:

(a) An employee may be entitled to the payment of variable Incentive
Bonus/Reward, as declared by the Board of Directors, based on the
profitability of bank. Management may decide at its discretion to withhold
an employee’s bonus due non-performance / poor performance, dereliction
of duty, violation of code of conduct, gross misconduct, habitual delay in
handling official assignments, deliberate sluggish attitude in discharging
duties, attempt to fraud etc.

33
 (b) Also this bonus is payable to an employee who will put in, at least, six
month’s (180 days) service of the whole year for which the Performance
Bonus is declared.

4.8 Employee Training and Development:

(a) Training and Development needs of employees are identified on a regular basis,
and accordingly they are nominated for the following training:
i. In-house training (JBTI)
ii. Local training
iii. Regional training
iv. Overseas training

(b) Whenever an opportunity comes up, an employee may be sent abroad for training
and development so that they gain knowledge and experience and perform better
at work place.
(c) On return from training/attachment an employee may be required to submit a Trip
Report to his/her Functional Head and debrief the Management Committee about
the learning through presentation within 15 days of return as and when requested
by the Management.

(d) An employee should also submit an Action Plan on the training for transfer of
learning to the work place.
(e) An employee may be asked to sign an indemnity bond to ensure continuity of
service before he/she goes / after he/she returns from training overseas, such
indemnity will be determined by the Management based on the length of training,
years of service and track record of the employee concern.

4.9 Resignation and Termination:

I) Resignation:
(a) An employee, on probation, may resign from service at any time by giving
one months notice subject to adjustment of all dues mentioned in the

34
 appointment letter as well as indemnity bond. Similarly, the management
will have the right to terminate the services of a staff member on probation
at any time without any notice.
(b) An employee who resigns shall do so in writing to the Appointing
Authority following proper channel of communication. Prior to the
acceptance of the resignation letter, thorough checks shall be made in
respect of the following:
i. Whether any legal proceeding is underway against the
employee by the Bank;
ii. Up-to-date cash account, if applicable’
iii. Statement of any financial transactions dealt by the employee
and liability of the Bank I respect thereof;
iv. All Bank’s asset under his/her possession;
v. Any other liabilities/obligations to other
division/department/units/ branch.

(c) A written reply within 7 (seven) then be given from HRD to the employee
who is resigning, stating conditions etc., with copies to the Finance and
Accounts Division and the respective Head of Division /Division/ Unit/
Branch Manager. If the employee submitting resignation has charges of
corruption and misbehavior against him/her and proceeding about them
are underway, the Bank may refuse to accept the resignation.

(d) Prior to clearance and final settlement the employee concerned must
collect a certificate on the Bank’s prescribed form, on the following issues,
and submit to HRD for clearance.
i. Certificate stated that the Bank assets and other equipment /
articles under his/her possession have been duly handed over to
his/her Head of Division or any other authorized officer.

35
 ii. In cases where the employee purchases the items, then the
necessary approved documentation must be available before
clearance can be given.

iii. In case of Branch Manager, comprehensive clearance from

Audit & Compliance Division is mandatory.

(e) All dues will be cleared on the final working day of the employee
concerned, including Gratuity/P.F. etc., after adjustment of any liabilities
owed to the Bank after getting clearance letter from HRD.
(f) An employee, on confirmation in service, (apart from support staff) will be
required to give 90 days’ notice or surrender 90 days’ Basic Salary in lieu
of notice before they resign. For support staff 30 days’ notice or surrender
30 days Basic Salary in lieu of notice period is required.
(g) Management, at its direction, may, however waive the requirement of
notice / indemnity / in part or in full and release the resigning staff
members from its service immediately
(h) Based on the Bank’s interest management may defer the release /
acceptance of resignation at its discretion but not more than 90 days
maximum.

(i) In case of transferring / conquest liability to another Institution /

Organization Management may issue conditional release for the interim
period not more than 60 days after which conditional release shall stand
null and void and Bank Management may call back the employee or go for
arbitration/legal action. After full adjustment of outstanding liability a
formal release shall be issued.

(j) Exit Interview

i. All resigning staff may be requested for an Exit Interview. The
staff members’ immediate boss will not conduct such

36
 interviews. Instead, the Human Resources Division will
conduct the interview and circulate the report among
Management Committee members and also among the Board
Executive Committee (if necessary).
ii. It is important to obtain as much information as possible when
a staff member has indicated dissatisfaction with any other
aspect of his/her job.

II) Termination:
Similarly, the Bank Management may terminate the employment of an employee
by giving notice in writing or salary in lieu thereof in following manner:
(a) 120 days notice in case of support staff and other employees of the bank
who do not work in a managerial or administrative capacity.
(b) 90 days notice for all other grades of employee.

4.10 Retirement:
1) Retiring Age:
(a) Retirement age is 59 years. An employee will retire from services at the
end of the month in which his/her 59th birth anniversary.
(b) The management may, however as its discretion, in special circumstances
and in the interest of the Bank, appoint any member after retirement on
Contract basis beyond the age of 59 years subject to such terms and
conditions and in absence of such specialized skilled employee on the
Terms mutually agreed.
(c) An employee may be required to proceed on early retirement at the
discretion of the management once he/she has completed 25 years service
with the Bank or an employee may retire voluntarily after completion of
25 years of active service with the Bank.

2) Retirement on Health Grounds:

37
(a) An employee may retire on grounds of ill health, before attaining the age
of 59 years at the discretion of the management & government policy.

(b) In the event of such retirement, to overcome the adversity / hardship, the
management may consider appointment / employment / recruitment of
his/her children in the Bank. Provided his/her children conforms all the
pre-requisites of the recruitment policy of the Bank.

38
4.1.1 SWOT Analysis:

STRENGTHS:
The strengths of a company are the most important building blocks required for growth to
take place. Janata Bank is a company that has much strength. The following are a few of
the most prevalent strengths that Janata Bank has at the present time.

1. Accountable Corporate Governance is very important for the bank:

Good Corporate Governance is an issue of vital importance to the Board and
Management of Janata Bank. The Board of Directors, as the apex level of authority, is
responsible and accountable for the overall direction and is ultimate answerable to
regulatory authorities and shareholders for the activities, strategies and performance
of the company. The board now has 13 members, which also includes at least two
independent directors.
Janata Bank board has a formal schedule of matters especially reserved for its
decision including corporate strategy, approval of budgets and balance sheet, annual
financial results, Director Appointment, proposal for dividend, approval of major
corporate transactions and credit proposals beyond the delegated business power of
the management.

2. Experienced Senior Management has the responsibility for promoting highest

level of business ethics:
The senior management of the bank is responsible for promoting the highest level of
business ethics and integrity. Their aim is to create and foster a culture throughout the
bank that emphasizes and demonstrates the importance of maintaining high business
ethics and close relationship with customers.

In Janata Bank, mostly the experienced officers are mostly responsible in promoting
business as they have more experienced than the junior ones and they have all the
knowledge about the business and about the market. Even though there is a lot of
competition in the banking sector as well, but still the higher officials convince its

39
clients on its terms and conditions. The senior officers convince their clients in such a
way that there becomes a strong bonding of the officers with the clients, and as a
result it eventually helps the bank to bring business as well.

3. Janata Bank Provides quality services to its customers:

Customers are the focal point of all the banks activities. Janata Bank is committed
to its customers for excellent, innovative and speedy solutions across all customer
segments. The Bank provides a full range of banking services to small and
medium size companies and also to private individuals and entrepreneurs. They
have expertise corporate banking, retail banking and trade finance and inward
remittance facilities as well such as Western Union, Placid Express and National
Exchange etc.

4. The Bank provides compensation package for all its employees irrespective
of the gender or designation:

Janata Bank maintains an equal opportunity in recruitment, training and

promotion of all employees regardless of gender or ethnic origin. The bank tries
to pay all its employees the best compensation package. The bank treats all its
employees equally without being biased towards anybody due to race, religion or
gender. Janata Bank provides a good compensation package not only to the senior
officers or executive but also to the other staffs at the lower level. The
compensation package is though according to their designation.

Accordingly, Janata Bank’s salary structure is revised upward on a regular basis.

The bank also keeps in employees informed about the progress of the business
and their part in it for their constant commitment to the bank. They also encourage
the development of the employee involvement in the bank through formal and
informal meetings.

40
5. Janata Bank is maintain a strong position in the share marke:

Shares of Janata Bank are one of the most actively traded stocks on the Dhaka
Stock Exchange (DSE) and Chittagong Stock Exchange (CSE). The continual
improvement in the bank’s underlying profitability is the reason for trust and
confidence of investors on the bank.

Its reputation and performance attracts the clients towards the bank and make
them to invest in its shares Customer is in the core of everything a service-
oriented company does. Accuracy, reliability, and timely delivery are the key
elements of the Janata Bank’s service. Janata Bank Limited is manned by well-
qualified and experienced officials always prepared to provide efficient,
personalized and quality service. They also tailored solutions for business needs,
global reach in trade and commerce and high yield on investments backed by
state-of-the-art technology for both customers and for internal use have rendered
Janata Bank a position in the top tier of the industry. The bank also performs
according to the needs of its corporate clients and provides a comprehensive
range of financial services to national and multinational companies.

6. Janata Bank is always there for Social Welfare:

Janata Bank has fully commitment towards serving the communities in which it
operates. The bank believes that healthy economy and sound banking go together.
A chunk of the bank’s annual profit is being given to the Janata Bank Foundation
for social welfare. The main objective of the foundation was to invest part of the
bank’s profit in poverty alleviation and community welfare.

The Janata Bank foundation and the employees of the bank take part in diverse
charitable and voluntary programs. The foundation had made allocations in
different areas of poverty alleviation and primary health care programs for the
low-income group. Substantial fund had also been allocated for research works on
various socio-economic issues confronting the nation. All these strongly reflected

41
 strong commitment of the bank to work closely through foundation with the
community with which it co-exists.

7. Janata Bank provides online Banking Services:

Janata Bank is among the few banks in Bangladesh, which provides the online
banking services to its customers. By using the modern banking services, a Janata
Bank customer can withdraw or deposit an amount of cash under the Janata Bank
account no matter in which branch the actual account exist. This service gives its
customer huge flexibility. More and more urban customers are becoming attracted
to this service day by day.

The customer can not only make transactions through online services but also can
check their balances. This online service provides great benefit for the customers,
as they do not have to face the hassle of going into the bank and then doing their
works, or knowing their balances from the bank, instead they can know it
instantly through online service of Janata Bank.

8. Training and development system of Janata Bank is a prime reason of their

success:

Janata Bank has a personnel-training institute with good resources. They give
regular training to the officer of both middle and lower levels. Again if there is
any strategy or technology change, there will be special training program arranged
based on individual needs.

They arrange special training on their software also which they use in the bank to
operate their system, which eventually becomes beneficial not only for the
employee but also for the bank, because if they do not know the exact procedure
of carrying out work in their system then that might affect them both the employee

42
 end into making mistake, and as a result the reputation of the bank also might get
hamper ed.

9. Strong financial resources to ensure the growth of the bank:

In the years 2014 Janata Bank’s total capital TK.8, 476.34 million. The bank’s
capital surplus in the year 2014 was TK. 901.53 million. Janata Bank’s total
deposits were TK.75, 069.24 million and the total loans and advances were TK
45,219.67 million, which makes the credit deposit ratio, stands at 83% for the year
2014.

Janata Bank’s total assets were TK.65, 361.62 million. Of it TK. 35137.28 million
were interested earning assets and the rest TK. 722.34 million was non-interest
earning assets. So it seems that it terms of financial resources Janata Bank has no
lacking. And the bank has adequate resources at its disposal considering the size
of the bank and this was a good enough platform to ensure future growth of the
bank.

WEAKNESS:

The fault of an organization is the most important internal problems that might
hamper the growth rate to take place in a company. Though Janata Bank is a
company that has many strengths but it also as well has some weakness of its own.
The following are a few of the most common weakness that Janata Bank has at the
present time.

1. Giving high emphasize on fixed deposits:

Janata Bank gives high emphasize on fixed deposits every year, which means that
they always end up paying high interest expense for their deposit mix. Certainly,
this will decrease their dealing spread and keeps them always in pressure. So, their
cost of goods sold is very high which is not very good for any company in this
competitive market.

43
Giving high emphasize on fixed deposit might which meant ending up by paying
high interest expense for the deposit mix, because if the bank continues like this
then there is a high chance for the clients to switch to other banks, so in this way
the bank might lose its valuable clients.

2. No feedback from bottom level employees:

The bottom-level employees and even the mid-level managers at Janata Bank
don’t take part in the decision-making process. So the information flows one way.
The bank do not encourage or even ask the middle level officers to take part in
their decision or invite them in the decision making process, as a result there
remains a gap between the high officials and the mid level managers or officers.
But when any kind of problem arises it is often the middle level managers who
has to face the problems or complains from the customers. The higher officials
should not also forget that because of these middle level officers their organization
has been running so smoothly and successfully.

Though Janata Bank do not involve its middle level officers in their decision
making process but still Janata Bank has some unofficial way to collect
information from the bottom level employees, but it is not effective at all.

3. Less emphasis on advertising through the electronic media:

Janata Bank does not promote their brand or products on regular basis. They seem
to be over confident over their company’s publicity. They sometimes see it as an
extra expenditure. They also don’t do much electronic media advertising, they do
not even campaign for their bank for example they could take stalls in private
universities and offer attractive packages for the student or for their education.

On the other hand competitors like Dutch-Bangla Bank, Standard Chartered Bank.
Jamuna Bank and others do the opposite frequently come up with creative adds

44
for their banks. For example, recently Dutch-Bangla Bank has set up an ATM
booth inside private university , this way they have not only gained popularity but
they have also attracted the customers, mostly the students to have a account in
their bank. This is a big weakness for Janata Bank, which may prove to be very
big mistake in the future. To company should concentrate more on its promotional
activities.

4. The bank has a large number of employees making the of organization

ineffective:
Janata Bank currently has quite a large number of employees compared to its
capabilities. Having a higher number of employees is good extent, but in some
cases it can also have a negative impact. This decreases the employee’s individual
efficiency as well as effectiveness.

If there is too many employees working for the same thing then the effectiveness
of the employees’ decreases, there remains no competition and the employees start
depending on others, i.e. instead of doing the work by themselves they expect
their fellow mates to do it for them. This kind of behavior makes them inefficient
and as a result hampers the effectiveness of the organization.

In addition to that, a few of the employees are not too sound and loyal as they are
supposed to be. There is a tendency that middle level managers want to avoid their
responsibilities and want it to be done by others.

5. Agency problem might be there among the employees which effects the
customer service:
The front desk employees are often found not to be too keen on taking care of
their customers. Though they have a long employee’s line in every branch, their
loyalty to the company and their ethics level are not very satisfactory. Most of the
employees always think about their own interest, which proves that agency
problem is there. Some of them create unofficial groups through which they solve

45
each other’s problem and support each other to achieve their personal goals, not
too much concern about their personal interest.

OPPORTUNITY:
An organization’s opportunities are positive external environmental factors. An
organization should explore all possible opportunities available to it. These
opportunities are intended to improve the organization. By making improvements,
the organization should be able to become more competitive in the market. The
following are opportunities available to Janata Bank in order for it to become
more aggressive.

1. Janata Bank can use their good market image to gain business and valued
customers:
Janata Bank has quite a strong market image. Local people know Janata Bank as a
centered of trust and professional where local expertise use to serve. If they
expand their business and utilize this strength as more diversified business
opportunities, they can create stronger image in the country.
If Janata Bank continues to be productive then they will get more and more
business as the customers will be attracted towards their service and towards their
product. The chances of Janata Bank will become much higher if they expand and
diversify their business in an effective and creative way not only in the capital city
but all over Bangladesh.

2. Janata Bank can provide mobile telephone bill collection service through
internet banking:
As telecommunication industry is expending with an alarming rate recently, so
Janata Bank could maintain good business relation with those telecommunication
companies. They can look forward to make some mutual agreement of
responsibility of bill collections. This will give them more liquid money, which
will boost up their cash requirement.

46
3. Janata Bank can provide premium service banking so as to satisfy their
customers:

Janata Bank can improve its customer service but tailoring the individual business
needs. This service enhancement collectivity will allow a customer to manage
their business finance and cash resources more efficiently and conveniently. The
services like-

 Courier
 Auto Fax Report
 Hotline (Your single point of contract)
 Inward remittance information services
 Express payments
 Foreign Exchange and Money market information
If Janata Bank provides the above mentioned services to its valuable clients then
the chances of its 100% success will be confirm, as no other banks is providing
such services specially inward remittance, if Janata Bank provides such type of
services then the customers will rush only for Janata Bank instead of going to
other banks.

4. Janata Bank can expand their business area by opening new branches in
different places:
Janata Bank could also boost the number of branches to take advantage of
increase demand among the existing customer with better services and thus
generate more net profit. In recent years the bank has opened a lot of new
branches, which is a good sign of improvement and also a commendable strategy.
If Janata Bank continues to be productive then they will get more and more
business as the customers will be attracted towards their service and towards their
product.

The chances of Janata Bank will become much higher if they expand their
business in an effective and creative way not only in the capital city but all over
Bangladesh. The bank has not been effective in increasing the number of
branches outside Dhaka and Chittagong. Most of Janata Bank’s branches are

47
targeted at the city people only; they have not concentrated of the rural people too
much. That’s why the company could not capture large portion of the market
share. The authority of the bank needs to take this into consideration not only for
them but also for the poor rural people. After all there is question of ethics come
in every steps of business.

5. The bank can globalize the business and can gain popularity all over the
world:
As the bank has a strong business brand image, it holds a great opportunities to
globalize their business more extensively. They can arrange more foreign
correspondent banks or by establishing more foreign branches as the foreign
branches have better and big business opportunities.

If Janata Bank continues to be productive then they will get more and more
business as the customers will be attracted towards their service and towards their
product. The chances of Janata Bank will become their much higher if they
expand and globalize their business in an effective and creative way not only in
the capital city but all over world.

6. Janata Bank can upgrading the online banking service to that the services
can be availed smoothly:
Janata Bank’s semi-online banking service is not up the standard of the service the
foreign banks provide. They usually serve the service based on the historical data,
not real time basis. So, the bank should take initiative to add some additional
services for their loyal clients. This will give them better opportunity to acquire
more market share.

The on line services of Janata Bank is not very standard; they have network
problems for which the latest updates are not known not only to the customers but
also to their employees as well. The employees cannot login to their system due
to the network problem and as a result their works get delayed. But if it continues

48
 to happen then the bank might lose its valued customers and business. If the
system gets updated then the services they provide through online banking will be
very smooth and effective for both the employees and the clients.

7. Government’s changing attitude towards private sector development can

be beneficial for the bank:
The government is favoring private sector investment, which is good for the
Janata Bank, as they can now expand their business with rules and regulations of
government of Bangladesh. This kind of government support will lessen their
problems. The Government’s changing attitude can be very beneficial for Janata
Bank as the government is favoring the private bans, the local public will rush
towards the private bank such as Janata Bank, and by this the bank will gain more
and more customers and will have more business.

8. Janata Bank has the opportunity to take market share away from rival
firms:
The private local commercial banks of Bangladesh are very similar in the way
they operate. This is especially true for the banks same strategic group. So if
Janata Bank somehow manages to differentiate their financial products and
services from the other then there is good chance that it will gain more market
share.

If the bank managers to achieve diversified products and wide banking network
there is a scope for market penetration. The bank can serve more customers
groups if they expand their expanding geographic coverage and service segments.
Also Janata Bank can portray itself as different by exploiting emerging new
technologies and improving services like credit card, telephone banking etc.

THREATS:

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An organization’s threats are negative external factors. An organization should explore all
possible threats available to it. These threats are intended to diminish the organization. By
making improvements and proper monitoring of the threats, the organization should be
able to turn more competitive in the market. The following are threats are available to
Janata Bank in order to threaten its existence.

1. There is a fierce competition among the banks all over the city to have
more valued customers and business:
As the banking industry of Bangladesh has promising in, Janata Bank is facing
strong competition the entrance of new potential competitors. The second
generation banks like
 Janata Bank
 Dutch bangle bank
 Southeast bank
These Banks are the main competitors for Janata Bank. There is a tough
competition among all the banks for business, if one bank provides better
services or more rate of return then the customers switch to that bank wherever
they will get better facilities.

Also foreign banks operations in Bangladesh are also taking a big portion of
market share. These foreign banks have successfully created better market image
than those of local banks in Bangladesh. The competition among all the banks for
business is very tough, to complete with one another is very hard in case of
business if one bank provides better services or more rate of return then the
customers switch to that bank wherever they will get better services.

2. Political interference and government regulations creates problem for

banks:
Janata Bank facing political interference in big loan sanctioning and also there is
to some extent unethical recruitment of employees. Though the government is
favoring private sector investment, which is good for the Janata Bank, as they
can now expand their business with the favoring rules and regulations of

50
 government of Bangladesh but still due to political interferences and tight
government regulation is creating problems in sanctioning big amount of loan.
Also there is 45% tax rate for all financial institutions, which is very high and
also a real threat for growth of the company.

3. Highly capital reserve requirement imposed by the central bank:

If there is liquid money crisis the market, Janata Bank will find it has to manage
its capital reserve requirement. As banking law act 1991, Bangladesh bank is
regulated the capital requirement not less than 9%. And if for some reason the
bank fails to meet the reserve requirements then the consequences and sanctions
will be serve.

Now a day’s banking businesses are being narrowing down and its services and
products are also diversifying in other sector of the financial market. Few
banking services are being also done by insurance companies, leasing firms,
house building loan companies and so on. So, banks are now surviving by doing
general banking, which is already threat and can bigger in future. Janata Bank
management should start to think about this issue more closely and have to take
necessary steps.

4. The central bank changing the interest rates for which the banks have to
maintain their rates:
In Bangladesh the central bank decides the interest rates. They give arrange and
within that range the banks have to maintain the interest rates they offer. So the
result is that all the banks end up having very similar interest rates.

51
Also it is the central government who changes the interest rates. They either
increase or decrease it depending on the economy according to the policies they
want to implement. And whatever changes the government makes the banks of
Bangladesh have to abide by it.

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 Chapter - Five
Recommendations and Conclusion

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5.1 Recommendations:

 The bank should practice proper Janata Bank guideline. The purpose of Human
Resource Management is to improve the productive contribution of people.
 To get effective and efficient employee, the bank should arrange proper training
and development programs.
 The entire HR department should be will informed regarding the employment
personal.
 Employee’s development is needed for the own interest of the bank.
 The bank should provide well direct compensation as well as direct to its staffs.
The bank should have job evaluated salary structure, which is most competitive
than other banks in the country.
 To evaluate employee’s performance the bank should follow promotion policy
properly.
 In order to get competitive advantage and to deliver quality service, top
management should try to modify the services.
 Janata Bank Limited (JBL) needs to advertise through various Media about
 Credit Cards
 ATM Cards
 Tele Banking &
 Other Product & Services
 Periodical performance appraisal and giving recognition and rewards to the
qualified employees to keep motivating them.
 Proper training needed for ensuring efficient performance of the employees.

5.2 Conclusion:

Janata Bank has converted all of their system and policy of traditional banking to Islamic
banking. I think which a very practical and bold decision is. There are lots of local and

54
foreign banks in Bangladesh. In this competitive market Janata Bank Ltd has to compete
not only with the other commercial banks but also with public bank.

Janata Bank is more capable of contributing towards economic development as compared

with other bank. Janata Bank ltd. Invested more funds in export and import business. It
obvious that the right thinking of this bank including establishing a successful network
over the country and increasing resources will be able to play a considerable role in the
portfolio of development. Success in the banking business largely depends on effective
leading. Less the amount of loan losses, the more the income will be form credit
operations the more will be profit of the Janata Bank limited and here lays the success of
credit financing.

Bibliography

1. Human Resource Management (Third Edition) - Wendell L. French

2. www.janatabank-bd.com

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3. Janata Bank Ltd. (2014), Annual Report, Janata Bank Limited, Dhaka,
Bangladesh
4. Janata Bank Ltd. (2013), Annual Report, Janata Bank Limited, Dhaka,
Bangladesh

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