The study explores different employee recruitment and job performance appraisal procedures of S. S. Information Technology (SSIT) in Bangladesh. The research focuses on the employee views of employee recruitment and job performance appraisal procedure of the organization. The findings indicate that the HR practices valued by the employees, but it need to be better directed to protect employee benefits. The research recommends that organizations need to ensure the basic employment benefits and that those are not loss in the rush to introduce more complicated approaches to supervising employees.
Chapter- 1: INTRODUCTION 1. Statement of the Research problem When we think about the HR concept and successful HR practices in the organizations, two main aspects come to our mind. First one is employee recruitment. The terms “successful recruitment” are used with some vigor in business manuals, but how do we actually go about measuring whether a recruitment decision has been successful or not? Success can be measured in various ways, and it is important to consider our own business goals, culture and strategies when answering what success means to us!
One of the easiest ways to measure success is to look at two statistics: the retention rate and the turnover rate. While these are both important, the third measurement of success is vital: how well does this person perform compared to the average employee? The retention and turnover statistics are quick and easy ways to report on staff movements within the organization. The turnover rate is calculated by looking at the number of people who have left the organization over a set period of time compared to the total employee numbers.
For example, if I have 100 employees and during the last quarter 5 people have left the organization, then my turnover rate is 5% per quarter or (extrapolated) 20% per annum (Natasha Wainwright, 2008). The retention rate is a measure of how long a successful applicant stays with an organization. The relevant time frame must be relevant to the business: for example, a cafe employing predominantly working-holiday visa holders can expect a low retention rate whereas a law firm would be interested in their new employees remaining with the company for many years.
In terms of recruitment, a period of one year is a useful measure for most organizations. To calculate retention, compare the number of people hired in the last twelve months to the number of current employees who have twelve months or less service. An example of a retention calculation is as follows: Over the last twelve months, I have hired 30 new staff. Of my 100 current employees, 15 have 12 months or less service. Therefore, my retention rate is 50%. In other words, half of the people that I employ leave before twelve months! This is not a good indicator of successful recruitment.
Looking at these two figures in tandem, it also becomes apparent that 15 of the 20 employees who leave each year are my new employees that I have just spent time and money finding, hiring and training. If I assume that in my industry, the average turnover rate is 20% than I should expect a retention rate of 80% or higher to indicate a successful recruitment decision. The third measure of successful recruitment looks at how the new employee actually performs. To measure this, identify one or more objective (measurable) aspects of the role, preferably ones which add to the bottom line of the business.
In a call centre, this might be the average number of calls made per hour or in a retail environment the average value of a sale. Compare all your employees in this role, if there are only a few then look at historical figures to see what past employees were able to achieve. Once the average figure is known, it is easy to compare the new employee’s performance to that of the group. One word of warning!! New hires do need time to adjust to the work environment and get used to operating procedures, so begin to compare performance after training has finished, generally between one and three months into the new role (Natasha Wainwright, 2008).
As we can see, this last measure is a vital one in determining recruitment success – it is not good enough in today’s environment to accept anyone who can do the basics of the job. To get ahead in business, everyone in the organization must be able to add to and improve the bottom line. But performance alone is not sufficient if those same people leave after 4 months and you must start the recruitment process again! Another important factor for the HR manger is ‘performance appraisal system’. It’s very important for the HR manager to ensure successful HR practice within the rganization. The main goal of an appraisal system is to produce an accurate, objective and fair picture of an employee’s performance. A formal performance appraisal program should include standardized, periodic evaluations that focus on the job related aspects of an employee’s performance. This is best accomplished when performance standards and objectives are mutually understood and agreed upon and when they are reasonably aligned with your business’s core competencies, values, overall mission and future business direction.
Periodic evaluations provided by an effective appraisal system can help improve employee morale, identify training and development needs and promote better communications between supervisors and employees. Everything from raises, career paths, training plans and departmental productivity are impacted by employee performance (Samaria Jones, 2008). The most important elements of performance appraisals are follow up and feedback. “In fact, the number one thing employees complain about is the lack of feedback and communication from their managers,” says Charles Ginn, Administaff director of Performance Improvement.
Continued unsatisfactory employee performance is often the result of employers not providing effective feedback. According to business analysts, fifty percent of the time an organization has non-performance issues, those issues can be linked not to motivational concerns, but to feedback issues. Feedback is essential (Samaria Jones, 2008). So, it is obvious that employee recruiting policy and job performance analysis procedure is very important for the prospect of any type of organizations. It’s mandatory for Banks, Telecommunication companies, insurance companies or even educational or training institute.
The concept of educational or training institute is still new in Bangladesh. Generally these types of organizations were introduced in the mid 1990s to provide assistance to the students for their higher education in the foreign countries known as ‘consultancy firm’ (Daily Prothom Alo, 2007). Their services included chose of course, country and universities, issue of offer letter and so on. As a result very soon these types of organizations obtained popularity among the general people of Bangladesh. The reasons were very simple.
Previously students had to do all the activities by themselves to go for the higher education in abroad. So, the introduction of educational or training institute came as a solution for the people of Bangladesh for the foreign affairs. The organizations those came in the mid of 1990 known as ‘consultancy firm’ have the same popularity in Bangladesh in the recent time. Now, firms are providing more opportunities for the students and professionals in terms of choosing desired course, country, job opportunities and so on.
Lots of firms are teaching IELTS, TOEFL, GRE, GMAT etc courses which are required to get admission in foreign universities. Moreover, lots of firms are giving training on various computer programs and language skills to make more competitive personnel not only for abroad also for home country too. Again, in terms of proving the knowledge of Computer lots of firms, known as ‘educational firm or institute’ have been working in Bangladesh for such a long time to introduce the concept of computer and its various applications.
Now, people can easily understand the fundamental concepts of computer and its various usages. But we can’t think its availability in the mid 1990s. So, no doubt about that the consultancy and educational firms have great significance in the foreign and computer education sector of Bangladesh, S. S. Information Technology (SSIT) is one of those. 2. Scope and Objectives of the study The major objective of the study is to assess the performance analysis of S. S. Information Technology (SSIT) in terms of employee recruitment and job performance analysis of employees. The specific objectives of the study are: 1) To present an overview of how SSIT recruits employee in their organization; (2) To present how SSIT does the job performance analysis of the employees; (3) To investigate what employees think of different criteria of SSIT and (4) To investigate what is the prospect of SSIT in the future. 1. 3. METHODOLOGY OF THE STUDY In this paper, the following methods are used: Nature of Data: The nature of the data is primary as I have conducted interview personally with all the 20 employees of various departments of the organization, S. S. Information Technology (SSIT). A set of questionnaires (Exhibit-1) was also provided to the employees.
Sources of Data: Research was undertaken among the staff of S. S. Information Technology (SSIT). Questionnaires were administrated to all the 20 employees of various departments of the organization. Information was sought on a wide range of issues including recruitment policy, job performance procedure, satisfaction with HR practices, attitude to leadership practices and satisfaction with various aspects of work. In addition to questionnaire survey, interviews were conducted with key informants such as HR manager, IT manager and course coordinator as well. Period under Consideration:
I have considered the information provided by the employees of the S. S. Information Technology (SSIT) who are there in the organization at least for 1 year. And most of the employees are in the organization for more than 3 years. So, the information what they have given to me were conducted over their last 3 years experiences of working in S. S. Information Technology (SSIT). Nature of Analysis: I have done analysis over the answers given by the employees of S. S. Information Technology (SSIT) regarding the oral interview and questionnaires that were provided to them. . 1. 4. LIMITATIONS OF THE STUDY
The main scope of the study is that it gave the opportunity to see and measure how the theories of ‘Human Resources Planning ad staffing’ are applied in the real world. In fact it is a scope to test our ability to apply our knowledge in the real world to get a better understanding of how the organizations work on the HR issues in respect to the employee rights and their financial aspects. As I carried along with the project I found it is very difficult to accomplish the whole report in a very limited time. An approximated time of at least three hours a week, was required to finish the analysis on time.
Chapter- 2: Discussion: An Overview of the Problem 2. 1. Organizational Overview In 1995, the Managing Director of S. S. Group, M. Salim Rahman upon completing his graduation in computer science and M. SC at University of Science & Arts of Oklahoma, USA, returned to Bangladesh. Ever since he has been observing and has found that there are not many IT educational institutes in our country with strong capabilities to make skilled IT professionals. Therefore, the idea to set up a good IT institute dedicated to prepare skilled IT professionals for local and international job market crossed his mind.
After extensively studying the problems and the prospects of local IT institutes, he understood the gaps between the dreams and realities in our IT training sector. In the light of his findings and in pursuit of his dream to establish a class training institute in the country, he set up S. S. Information Technology (SSIT) with state-of-the-art labs, and experienced and efficient faculty, offering effective training programs at competitive fees (www. sssitbd. com). S. S. Information Technology (SSIT) is a sister concern of S. S. Group which started their business in the textile field in 1973.
The Chairman of S. S. Group is one of the first to introduce cotton print saris in Bangladesh establishing a brand name “SAHANA PRINT”. S. S. Group has their own Dyeing, Printing, Processing and Finishing unite; such as S. S. Dying & Printing Works, S. S. Tex Trade International Ltd. , S. S. Corporation, S. S. Information Technology, Sahara Shari Center, Susmita’s along with wholesalers and retailer chain shops all over Bangladesh. SSIT also has its own trading house for import and export (www. sssitbd. com). Vision of SSIT Vision of SSIT is to work more in the education sector of Bangladesh.
SSIT has a desire to open an international school, College and University where both English and Bangla languages will be taught with equal importance maintaining truly international standards. Because, SSIT believes in this globalize world in the Bangladesh context we need adequate knowledge of both English and Bangla. When it comes to providing services, SSIT shall ensure professionalism at its height (Brochure of SSIT, 2008). Mission of SSIT SSIT mainly focuses on people’s ‘FUTURE CAREER’. SSIT help students and professionals to get connected with their future and face the challenge in educational and professional fields.
The experienced and skilled faculty and management of SSIT are dedicated to offer their services to students and professionals of all respects from basic education and career counseling to advanced education and career-based solutions. SSIT’s services include Student Counseling, Career Counseling, Skill Migration, Training, Software Developments, Consultancy, Job Placements, Research, Social Services and any other customized service required for single or corporate level (www. sssitbd. com). Power of SSIT Although SSIT is a new organization, SSIT’s management, faculty and employees are renowned, skilled and experienced in their fields.
Before joining SSIT, they had been working with professional integrity and skills in different renowned companies and organizations for many years. SSIT’s need-based courses are designed to arm the executives and business people of the 21st century with up-to-the-minute professional skills. At every step of SSIT’s training programs, SSIT maintain a strong observation and monitoring system. Easy-to-understand lectures, smart handouts and use of modern logistics and technology are the salient features of SSIT’s training programs (Brochure of SSIT, 2008). 2. 2. Services of SSIT
Career Related ; Social Services : SSIT offers basic counseling for those who just completed their studies and are prepared to start their career, for students who are working and keen to advance their future in the professional field and for educated non-working or working society, who are searching for placement, want to upgrade or change their profession. Some fundamental activities are-Basic Career Counseling, Vacancy Information, Preparing Professional Resume, Preparing Job Application, Career Improvising Program (CIP), Share of Views, Seminar, Workshop, Tips, Mock Interview, CV Bank, Social Services and many more (www. ssitbd. com). IT ; Language: All courses of SSIT are designed for all types of people including children, students, professionals and non-professionals with or without any pre-knowledge about IT to meet their everyday life. SSIT researchers are capable of offering various types of language courses (including Bangla) for students/professionals who would like to improve their language know-how in or out of the country. Along with the language we also offer all kinds of preparation courses.
These preparation courses will not only help deserving candidates who like to go for higher studies or get migrated in different countries but also assist them to boost their career (www. ssitbd. com). Consultancy: SSIT provides FREE counseling for deserving students to get admitted in a domestic institute or help to get offer/acceptance letter from foreign institutes with visa assessment service for their higher education, research and training in Australia, UK, and Canada and in some other European countries.
SSIT can also try to arrange different types of scholarships/fellowship for those who qualify. SSIT’s expert counselors are capable of offering advanced career counseling for professionals how to get better or change from their current stuck position. SSIT’s business counseling includes Sick Business Solution, Way of Business Improvement ; Initializing New Businesses. SSIT processes all kind of migration packages for professionals and businessmen in different countries.
Some fundamental activities are-Free Student Counseling, Free Visa Assessment Service, Advanced Career Counseling, Business Counseling, Management Counseling, Preparing Profiles (Company, HR, Marketing, etc) Migration Packages etc (www. sssitbd. com). Customized Professional Development ;Training: Except from our pre-define courses we can custom design, develop and train any IT, Language, Educational and Professional courses for individuals, institutes, new or running businesses and organizations.
Our expert Programmers has experience developing various types of user friendly Software for different fields including Banks, NGO’s, Organizations, Private ; Corporate Businesses and Retail Shops etc. Some services are- Customized Software Development ; Training, Web Page Design ; Hosting, E-Commerce Solution, Graphics Design, Multimedia, Network Solutions, Hardware Support ; Troubleshooting etc (www. sssitbd. com). Some of the organization SSIT works with are- The Structural Engineers Ltd. (SEL), Islami Bank Bangladesh Ltd (Aminbazar Branch), .
Islami Bank Bangladesh Ltd (Islampur Branch), Islami Bank Bangladesh Ltd (Sadarghat Branch), Islami Bank Bangladesh Ltd (Cantonment Branch), Islami Bank Bangladesh Ltd (IDB Branch), Islami Bank Bangladesh Ltd (Krishi Market Branch), A to Z Computer Services, Orbit Group, Madina Group, Paradise Group, Akaba Metals, Skidder filling station, Professional Associates etc (www. sssitbd. com). 3. HRM concept in Bangladesh In last 10 years, a vast amount of effort has been expended on exploring the relationship between HRM and employee performance.
The results of the effort are mixed and a recent review suggests that ‘the ‘Holy Grail’ of decisive proof remains elusive’ (Boselie et al. , 2005: p82). While there is now a good deal of information on the causes and consequences of, and strategies for, employee recruitment, performance analysis and employee benefits. The wider commitment literature has revealed that behavioral outcomes of affective commitment in particular include absenteeism, turnover intention, job performance and organizational behavior (Mayer and Allen, 1997).
But, the concept of HRM is not new in the corporate level of Bangladesh. The concept of HRM had been introduced in Bangladesh in the early 1990s. All the credit goes to the foreign multi-national companies for introducing the HRM concept in corporate level, such as Standard Chartered Bank, American Express Bank, Transcom Ltd, Grameen Phone, Citycell etc. After that some Bangladeshi local companies have introduced the concept of HRM in the corporate level, such as Bashundhara Group, Square Group, Partex Group and Globe Shilpa Paribar.
Now a days HRM is introduced in the most of the private entrepreneurs in Bangladesh. But still the concept of HRM is new for the consultancy and educational firms. But its good news that some of these type organizations are introducing the concept of HRM, SSIT is one of them. 4. HRM Concept in SSIT HR policy of SSIT is fully performance based. Job description is defined to the employees at the very beginning. Moreover, corporate goals, department goals, employees goals are very much correspond to each other.
Mission and vision are set according to the goals of the organization by the HR department. For example- SSIT wants to be the leading consultancy firm in Bangladesh within 5 years. For this they have placed the best consulting executives from the different leading consultancy firms and educational institutes of Bangladesh, like- Bhuiya, BSB, ABEC, Saifurs etc into its various departments. Performance criterion is the other aspect of HR policy of SSIT. Performance evaluation is the key factor of that aspect.
This is the HR policies of SSIT which are implemented in the organization. In order to ensure the quality SSIT does the following things-Teaching Evaluation (TE), Service Evaluation Form (SEF), Internal Inspection Report (IIR), Monthly Staff Meeting Research and Development Cell (R;D), Performance Appraisal Rating (PAR), Hotline, Monitoring by Course Coordinator, Complain ; Suggestion Desk. Employee recruiting policy of SSIT is the typical traditional approach. Employees are recruited through oral interviews.
In SSIT Bachelor degree is must for recruiting any employee in any posts. In order to recruit in senior marketing and administrative posts at least Bachelor degree is required for the employees with at least 5 years of experience. But in the junior marketing post experience is not must but educational qualification is at least Bachelor degree. Service rules can be defined as the code of conduct predetermined by the authority of any corporation. Like any other corporation SSIT has also some distinctive service rules fixed by the HR of the organization.
Some of them are as follows-Honesty and Integrity, Disciplined, Punctuality and Personality, Hard Worker, Friendly Attitude towards the Client and Colleague, Team Player, Decent, Proactive, Devoted ; so on (Appointment Letter of SSIT, 2007). SSIT uses the performance evaluation of the employees for the performance appraisal procedure. Here it uses Performance Appraisal Rating (PAR) for the performance appraisal procedure. For example- the rating system that the SSIT uses is defined into this- +4=Excellent, +3=Very Good, +2=Good, +1=Average,-1=Poor,-2=Very Poor; marking system according to the job performance of the employees.
According to this marking system promotion, increase of salary depends on. The marking procedure is based on the performance evaluation by the HR manager and the fellow colleagues as well for every single employee. Rating system of evaluation procedure is done in every month and 4 month’s performance ratings are taken into notice for making any decision by the authority. In order to retain the employees SSIT has the retention plan. They have the regular retention criteria, like- one gross salary, two festival bonuses, and medical allowances etc.
But most important factor is that they don’t have the performance bonus and retention bonus for the employees. SSIT has the development program for the human resources of the organization. They have the traditional employee development program for the employees by the HR as well as the higher training program for the faculties by the course coordinator himself regarding their improvement. CHAPTER- 3 : FINDINGS ; Analysis Though SSIT is providing very distinctive facilities to employees but it can’t stop the employees to become dissatisfied.
After taking interview with all the employees of SSIT and analyzing the questionnaires filled up by the employees, some problems have identified. 3. 1. Highly Centralized Organization A highly centralized organization (Exhibit-2) structure enabled SSIT’s strategy. Product division was the fundamental business unit and its general managers were authorized to make decision for their business. As a way, the employees felt degraded the solidarity of the company about acquisition, consolidation and outsourcing. This has shifted SSIT’s environment from its traditional ways by changing the process of teamwork. . 2. Unsatisfactory Rating System Employees are unsatisfied with the rating system. One main reason is that the rating system procedure which is filled up by the office colleagues about job performance. Though the rating system is checked by the HR manager but it can’t be 100% accurate. There is a higher chance that employees might miss use of that rating system against any employee whom he or she doesn’t like at all. And employees don’t get the chance to see what rating has he or she got from the other employees. 3. 3. Internal problems
SSIT’s policy to self-financing policy was intended to supports its human resource philosophy and policies particularly employment security. In SSIT, employees never fired for poor performance or never laid-off even its profits suffered in an economic downturn. Its commitment to its employees also led SSIT to avoid contract business. But in 2008, SSIT face severe challenged due to some political changes in Bangladesh. A downturn in this industry led SSIT to changes its management policies; the most important change was in SSIT’s employment security policies.
To reduce cost and avoid layoffs SSIT decided not to give any performance bonus and retention bonus. The employees were emotionally shaken by these policies of SSIT. Due to these policies employees started to feel that they are loosing job security. The activities of SSIT employees were guided by the HR manager. But no executive is allowed to give any decision, no matter how smart or able that executive may be. Employees are asked to support what the management decides. Though SSIT believes in employee’s equality, in practical scenario such practice is not found.
Employees have problem with payment system of salary also. The salary is provided to the employee in 2nd week of the month. As a result it hampers the financial activities of the employees to run their family. There is no prescribed career development or progression in SSIT. They rank their employees based on a sustained contribution, sudden dramatic changes in performance position was very rare. The employees of SSIT must go through a defined process in which they don’t have a lot of flexibility. If any employee does something in his own style other employees don’t appreciate it.
Hiring in SSIT is conducted by traditional multiple interviewing processes in which applicants are asked what knowledge they have rather than how they would approach a problem. Testing is rare and limited to specialized skill test to a particular position. Previously, in every morning and afternoon all employees were provided coffee or tea and cake or biscuits in the break times. But currently those facilities are not provided. As a result social bonding is not growing between the employees of SSIT. CHAPTER- 4 : Recommendations ; Conclusion The goal of SSIT in Bangladesh is very much comprehensible and pragmatic.
The reason of saying this is that the sector of educational or professional consultancy firm in Bangladesh is expanding day by day and the numbers of existing customers are also increasing rapidly. So, it is very much precise that SSIT has a bright prospect in the upcoming years in Bangladesh. Again, the question arises is that only the proper goal would make SSIT successful in Bangladesh? The answer is straight ‘no’. The thing that would make SSIT successful in Bangladesh is that the implementation of inventive consultancy firm activities for the clients of Bangladesh.
And this will be possible by the proper plan of HR department of the organization through the execution. Some recommendations are as followed- • The HR of SSIT, Bangladesh has made distinctive service rules where honesty, integrity and loyalty to the organization and customers get the precedence than any other employee trait. The performance appraisal procedure and HR development program has added more versatility to organizational system of SSIT. This helps the employees to boost their self-assurance and adds more sincerity to their effort.
They need to provide the proper facilities to the employees as the employee retention plan then success would come to SSIT within their vision. • SSIT should carefully handle the different employees of the organization in regard to provide better service. HR manager must let the employees to see what other colleagues have rated him or her as monthly job performance analysis rating and must provide the salary within the 1st week of the month to the employee. Otherwise employees might leave the organization. • Authority of SSIT must empower the employees.
Practically employee equity theory should be established. Each employee need to give top most priority to take right decision in his own field based on his capability. Manager and supervisor should appreciate and support their subordinate decision. • CEO of SSIT must seek monthly report containing detail information from individual division which will be prepared by their divisional head. This will help him to review all the information of SSIT and its employees also. • SSIT must develop a well defined career path. Promotion should be given to employee according to organizational chart and career path.
This will help to reduce the discrimination among the employees. Management also needs to provide performance bonus and retention bonus to the employees. • There should be prescribed career development or progression for the employees in SSIT. Flexibility in the defined process of SSIT must be given to the employees. HR manager and higher authority must appreciate and encourage the employee to do things differently if that doesn’t go against the organizations defined process. • Written test must be introduced for all candidates to prove their technical knowledge in specified field.
In case of manager recruitment, practical situation handling test such as aptitude test, decision making, problem solving, etc should be conducted along with the written test. • Orientation must be given to the new employees by the SSIT to help them to adapt with the new environment. Managers need to co-operative and supportive towards the new comers to help them to figure out their responsibilities. • SSIT needs to reintroduce its common coffee break which will help to increase employee interactions and bonding. Also it will help to refresh the mind of employees.