Human Resource Management in Standard Chartered Bank Bangladesh Human resources are the key to economic development.

However, they are being wasted through unemployment disguised unemployment, obsolescence of skills, lack of work opportunities, poor personnel practices and the hurdles of adjusting to change. These resources account for a large part of national output and there exists wide scope for enhancing productivity through their proper development. The physical resources will not give results unless the human resources are applied to them. In an organization, human resources matter more than any other resource and hence employers should learn the art of putting these resources to optimum use. And it is the proper human resource management by which the utilization of effective human resource strategies & implementations has brought the succession of Standard Chartered Bank and led them operating the banking services for more than 100 years and become the biggest international bank in Bangladesh! Standard Chartered Bank is an alliance of Standard bank of British and South African bank and Chartered Bank of China, Australia and India, these companies are expanded entirely on Europe, Africa and Asian countries. The operation has gathered so much respect in their customer that they have been successful to operate and extend their products and services widely and so thus forming strong alliances and acquisition in most countries through which they operate. Standard Chartered Bank has always been providing new solution and wealth through financing, credits and credit cards optimization which is designed for flexibility and long term financial freedom to its customers. Standard Chartered Bank Human Resource Management team has led their company to gather the best talented and performing employees through extensive hiring programs all over the world through highly structural corporate procedure and training, learning and mentoring newly employed individuals to further enhance and develop their talents and skills upon engagement. This thorough programs includes three intensive training rotation from distinguish specialization which includes learning or e learning, performance and talent development that runs for 28 months training program. This assures that the Standard Chartered Bank employees are thoroughly equipped with the best knowledge and the current trends in banking and financial services, customer engagement, dealing and negotiation, human resource and management risk reduction, employee relation, talent management, personality development in a classroom training and actual environment etc. Following the basic examples acquired from Society for Human Resource Management or SHRM by recognizing the important benefits of Business Leadership, Employee and Employer relation, Globalization, Staffing Management, Labor Relation, Technology Optimization, Sustainability, Superb Customer Service and other related discipline that has been consistently promoted by this organization. (SHRM) or Society for Human Resource Management is the worlds biggest organization which is solely devoted for Human Resource Management. Currently they have 250,000 members from 140 various countries around the world. Members are top executives and CEOs from many different services and manufacturing companies. SHRM is an independent membership organization providing resources in global network of Human Resources for they are the only authority to establish HR functions. Standard Chartered Banking by adopting the SHRM professionalism and consistency is preparing all members, the benefits to integrate the close relationship to their mother

company about the global economic downturn and financial banking crisis. The adopted approach of SCBC has emerged to strengthen and further increase the future capability of the company to forecast a great deal of comfort and progress that they are confident to achieve such goals in spite of banking crisis. We all know that worldwide economic recession has affected almost all companies all over the world creating turmoil and crucial decline including financial companies that create a kiosk in banking, some even delimit their lending structure while some even decided to drop down their operation including Pre needs, Insurance, Lending and other financial institutions. But Standard Chartered Bank is firm in their projection to extend and promote their products and services through the aid of their marketing, management approach by doing things the right way, providing relevant solutions, focused on long term and short term goals working closely with clients and stakeholders, employing sustainability and stability which shows the progression of their position withstanding the current trends in banking crisis, although it is necessarily that they need to evaluate such strategy to maintain their standing in the banking industry . The integration adaptability of SCBC to SHRM has been a moral boost driving investment in their sustainability for they have benefited for the challenges and inspiration carried through their knowledge sharing and information integration system including top executive decision making for they are the primary members not the company itself. By becoming an individual member they are entitled to SHRM resource allocation which is available for each exclusive member. The SCBC has their own strategy that even enhance after the integration with SHRM function that is why it is important to bridge the gap of companies that exercise and specialized in their Human Resource functions. SHRM is not just investing on the company but they are investing in their individual members to focus on their qualities and introduce that knowledge to their respective companies. Included is the Logical, Analytical, Methodological, Measure and Process of basic Human Resource practices such as Hiring, Training, Salaries and Benefits. SHRM is fully equipping their current members with the latest technology and advance HRM function including foundational HRM principles that is very effective, economy scale and evaluation management in their effort to fully impart their conceptual approach to their members to integrate it to their mother company. About Standard Chartered Bank

Country Chief Executive Officer: Jim McCabe Local time: GMT +6 hours Language: Bengali, English Population: 164 million (July 2010 est.) Currency name: Taka (BDT) No. of branches: 26 Established: 1905 (including ANZ Grindlays experience; Standard Chartered Bank originally established its first branch in Chittagong in 1948)

We are the oldest and largest foreign bank in Bangladesh Only bank that never closed its doors over 100 years of banking operation in the country First international bank to extend credit lines to Bangladesh and open the first external letter of credit (LC) in Bangladesh in 1972 Financial Institutions business is the largest contributor to USD Clearing in New York A leading price player in treasury instruments and foreign currencies Leader and pioneer in Consumer Banking

Abstract Organizations that seek to gain competitive advantage must be able to manage the behavior and results of all employees. By carefully observing the shortcomings through periodic appraisal and assessments the organization may become able to arrange for the required training or development needs of the employees, which in turn would give it an edge over its competitors. Standard Chartered Bank is the world leading emerging market bank headquartered in London. Today it employs 30,000 people in over 500 offices in more than 50 countries including Bangladesh. The bank serves both the consumer and whole sale banking customers, ranging from credit cards, personal loans, mortgages, cash management, foreign exchange, wealth management, services etc. With nearly 150 years in emerging markets, the bank has unmatched knowledge and understanding of its customers. The use of Strategic Human Resource Management information ins to help set agreedupon performance goals , allocate and prioritize resources, inform managers to either confirm or change current policy or program directions to meet those goals , and report on the success in meeting those goals. The study carried out is focused on the HR policies and practices at Standard Chartered Bank. Standard Chartered recognizes the fact that its responsibility lies to its staff and to the communities in which it operates. Therefore, it hires the most competent, skilled, determined and highly motivated professionals who are capable of providing quality services to the customers whenever and wherever they want them to be delivered. The structure of the Bank provides scope for the flexible deployment of people and to promote equity, job satisfaction, motivation and commitment to goals; as well as providing access to career development. Standard Chartered has policies & practices that provide for a safe and healthy working environment. Standard Chartered Bank prevails an environment of confidence and mutual trust. The documented employment policies are honestly implemented to the satisfaction of both management and employees. Both the employees and the management try to meet the common objectives. They coordinate their activities to ensure that they are heading towards achieving the established goals and meeting the set targets within the specified time frame.

Introduction Human Resource Management is the process of developing, applying and evaluating policies, procedures, methods and programs relating to the individual in the organization. Human resource management includes Human Resource Planning, recruiting, selection, training and development, compensation, performance management and employee development. Effective human resource practices relate to company performance by contributing to employee and customer satisfaction, innovation, productivity, and development of a favorable reputation of the firm in the industry. Objective The study has been undertaken to assess the Human Resource Management practices of Standard Chartered Bank with the prime focus at formulation of strategies and tactics and how it contributes in implementing the strategies. Methodology The information related to the project has been collected from the Standard Chartered Bank, Bangladesh. The methodology adopted is as follows: Collection of data by conducting interviews of officials of the Bank Frequent visits Internet Search Study of Banks annual reports

A comprehensive study of the literature has been carried out the see the factors that help in achieving a competitive advantage in a dynamic banking environment. Scope of Study As we know services are a growing industry of Bangladesh and many firms are striving to deliver value added services to the customers. In this regard banks are continuously focusing towards improving their services. Similar is the case with Standard Chartered Bank. Standard Chartered Bank has been operating in Bangladesh for over a hundred years and today, Standard Chartered Bank is the largest international bank in Bangladesh. It is worth saying that without their utilization effective human resource strategies & implementations this succession was impossible! Keeping this in view the study has been undertaken to identify the strategies and plans of the Bank and to identify the methods adopted by the Bank to train and motivate their people and work force. Literature Review Human resources management includes a variety of activities , and among them is deciding what staffing needs an organization has and whether to use 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 the personnel and management practices conforms to various regulations. Activities also include managing their approach to employee benefits and compensation, employee record and personnel policies.

HRM practices have shown to be valuable to any companys success. Thus to be successful in a global market place, the challenge for all businesses regardless of size is to invest in human resources. They need to select and retain talented employees, undertake employee training and development programs and dismantle traditional bureaucratic structures that limit employees ability to be innovative and creative. The commonly practices HR activities include the following: HR Planning Recruiting Selection Training and Development Compensation Performance Management Employee Relations

World-class organization use performance measurement systems to determine whether they are fulfilling their vision and meeting their customer-focused strategic goals. Leading-edge organizations use performance measurement to gain insight into, and make judgments about, the effectiveness and efficiency of their programs, processes, and people. These best-in-class organization decide on what indicators they will use the measure their progress in meeting strategic goals and objectives, gather and analyze performance data and then use those data to drive improvements in their organization and successfully translate strategy into action. Thus in todays organizations, the use of Strategic Human Resource Management information is to help set agree-upon performance goals, allocate and prioritize resources, inform managers to either confirm or change current policy or program directions to meet those goals , and report on the success in meeting those goals.

Introduction to SCB History of Standard Chartered Bank Standard Chartered is the worlds leading emerging markets bank headquartered in London. Its businesses however, have always been overwhelmingly international. Standard Chartered is name after two banks, which merged in 1969. They were originally known as the Standard Chartered Bank of British South Africa and the Chartered Bank of India, Australia and China. Of the two banks the Chartered Bank is the older having been founded in 1853 following the grant of Royal Charter from Queen Victoria. The moving force behind the Chartered Bank was a Scot, James Wilson, who made his fortune in London making hats. James Wilson went on to start The Economist, still one of the worlds pre-eminent publications. Nine years later, in 1862 the Standard Bank was founded by a group of businessmen led by another Scot, John Paterson, who had immigrated to the Cape Province in South Africa and had become a successful merchant. Both banks were keen to capitalize on the huge expansion of trade between Europe, Asia and Africa and to reap the handsome profits to be made from financing that trade. The Chartered Bank opened its first branches in 1858 in Chennai and Mumbai. A branch opened in Shanghai that summer beginning Standard Chartereds

unbroken presence in Chine. The following year the Chartered Bank opened a branch in Hong Kong and an agency was opened in Singapore. In 1861 the Singapore agency was upgraded to a branch, which helped provide finance for the rapidly developing rubber and tin industries in Malaysia. In 1862 the Chartered Bank was authorized to issue bank notes in Hong Kong. Subsequently it was also authorized to issue bank notes in Singapore, privilege it continued to exercise up until the end of the 19 th Century. Over the following decades both the Standard Bank and the Chartered Bank printed bank notes in a variety of countries including China, South Africa , Zimbabwe, Malaysia and even during the siege of Marketing in South Africa. Today Standard Chartered is still one of the three banks, which prints Hong Kongs bank notes. Standard Chartered Today Today Standard Chartered is the worlds leading emerging markets bank employing 30,000 people in over 500 offices in more than 50 countries primarily in countries in the Asia Pacific Region, South Asia, the Middle East, Africa and the Americans. The new millennium bas brought with it two of the largest acquisitions in the history of the bank with purchase of Grindlays Bank from the ANZ Group and the acquisition of the Chase Consumer Banking operations in Hong Kong in 2000. These acquisitions demonstrate Standard Chartered firm is committed to the emerging markets, where the Bank has a strong and established presence and where they see their future growth. Performance Review in Bangladesh Today, Standard Chartered Bank is the largest international bank in Bangladesh with 26 Branches, 57 ATMs and 7 Financial Kiosks; employing over 1,300 people. It is the only foreign bank in the country with presence in 6 cities Dhaka, Chittagong, Khulna, Sylhet, Bogra and Narayangonj; including the country's only offshore banking units inside Dhaka Export Processing Zone (DEPZ) at Savar and Chittagong Export Processing Zone (CEPZ). Standard Chartered Bank has been operating in Bangladesh for over a hundred years. After the partition of the subcontinent in 1947, Bangladesh became East Pakistan; thereafter SCB started its business in 1948, in the port city of Chittagong. Standard Chartered Bank is doing exceptionally well in Bangladesh. The acquisitions of Grindlays bank (in 2000) and the commercial banking business of American Express Bank in Bangladesh (in 2006) are reflections of the Banks increasing commitment to Bangladesh. The bank increasingly invested in people, technology and premises as its business grew in relation to the country's thriving economy. The bank currently provides both Consumer Banking and Wholesale Banking Services, ranging from Personal & Corporate Banking to Institutional Banking, Treasury and Custodial services. Extensive knowledge of the market and essential expertise in a wide range of financial services underline our strength to build business opportunities for corporate and institutional clients in Bangladesh. Continuous upgrading of technology and control systems has enabled the bank to offer new and improved services such as Phone banking, I-banking, and e-Lending.

Operations Strategies for Banking Services How can we satisfy our customer? This is perhaps the most important question that the Bank can ask from itself and its people. Customer needs and wants to run the full gamut, from tangible products, quality of services delivered, and attitude of the entire management to the aesthetics. In this regard, Standard Chartered Bank aims at satisfying these needs and wants by developing and fulfilling missions and strategies, which can be as diverse as the customers they serve.

Operational Strategies To steadily develop the lending business and upgrade the quality of loan assets. In lieu of Islamic banking the Bank aims to aggressively promote fee-income business to raise non-interest revenue sources. To provide efficient services to fulfill customers needs and create a high-quality service image. To actively set up business units in major business centers of the country. To aggressively develop international banking operations and seek opportunities to develop strategic alliances with other banks to create new products and services. Operation Plans The Operational Plans of the Bank are as follows: Deposits Loans Domestic Banking Trust Operation Treasury Operations

Strategic HRM Practices of Standard Chartered Bank People, rather the employees are the asset of any organization. An organization, whether it is a manufacturing concern or service oriented, cannot function without the active participation of people. Standard Chartered is the worlds leading emerging markets bank. It employs 30,000 people in over 500 offices in more than 50 countries in the Asia Pacific Region, South Asia, the Middle East, Africa, United Kingdom and America. Human Resource Planning HR planning is a process, which anticipates and maps out the consequences of business strategy on an organizations human resources. This is reflected in planning of skill and competence needs as well as total headcounts. Every organization needs to be able to forecast and plan for its future people requirements. The general purpose of human resource planning has been described, but there are specific purposes which HR planning serves:

1 Balancing the cost between the utilization of plant and workforce : this involves comparing costs of these two resources in different combinations and selecting the optimum. This is especially important when costing projects. 2 Determining recruitment needs: an essential prerequisite to the process of recruitment is to avoid problems of unexpected shortages, wastage, blockages in the promotion flow and needless redundancies. 3 Determining training needs: this is fundamentally important to planning training programmes, for which it is necessary to assess not only quantity but also the quality of the skills required. 4 Management developments: a succession of trained and experienced managers is essential to the effectiveness of the organization, and this depends on accurate information about present and future requirements in all management posts. 5 Industrial or employee relations: the business plan will, of necessity, make assumptions about productivity, and the human resource implications of merger, acquisition and divestment decisions will have an impact on the organizations employment relationships. In practice, HR planning is concerned with the demand and supply of labor and problems arising from the process of reconciling these factors. Any system has to be based on analyses of demand and supply and the plans and decisions which follow these analyses. Sound HR planning needs to be based on the following principles and actions: 1. It has to be fully integrated into the other areas of the organizations stra tegy and planning. 2. Senior management must give a lead in stressing its importance throughout the organization. 3. In larger organizations a central human resource planning unit responsible to senior management may be established. The main objectives of this unit would be to coordinate and reconcile the demands for human resources from different departments, to standardize and supervise departmental assessments of requirements and to produce a comprehensive organizational plan. In practice, the HR department would normally play a leading role in the task. In smaller organizations these responsibilities would probably be carried out by a senior member of staff, e.g. the HR manager or even the managing director 4. The time span to be covered by the plan needs to be defined. Because of the abiding problem of making forecasts involving imponderable factors, a compromise is often adopted in which a general plan is produced to cover a period of several years, operated as a continuous, overlapping plan, the 3- or 5year period of general forecasting could be maintained and each first year is used in turn for purposes of review and revision for the future. At Standard Chartered Bank, human resource planning involves forecasting the numbers of people which will needed by the bank, and then working out the best way of obtaining then as and when they are needed.

 Forecasting Forecasting is the major function of the banks HR department. The forecasting activities include: 1. Workforce numbers in sufficient detail to be useful. 2. Likely changes to the work of the bank. 3. Work force supply this involves forecasting the variations in the current work force estimated to occur over the following years. 4. Impact on budgets and funding. Whos responsible for it? Its easy to shift responsibility and say that personnel and human resource departments should carry out HR planning, but it should be the concern of every manager. As the Bank operates in a dynamic environment, new and advanced practices are frequently emerging resulting in changing customers requirements. Good Practice Indicators Standard Chartered Bank makes sure that effective human resource planning process is in place when 1. Appropriately skilled people are available to be deployed in the Banks to meet forecast work demands. 2. The Banks structure provides with opportunity for appropriate career development, and is perceived to contribute to effective and efficient work practices. 3. Relevant workforce data is readily available to inform management decision making on human resource issues. Standard Chartered Banks Structure The Banks structure is the means by which the work is integrated to ensure that the objectives and activities of individual work teams and departments match the overall goals. The structure of the Bank provides scope for the flexible deployment of people and to promote equity, job satisfaction, motivation and commitment to goals; as well as providing access to career development. Workforce Analysis (Supply and Demand) The effective collection and analysis of workforce statistics trends in the workforce is to be considered with the specific requirements for skilled and qualified people to meet the corporate aims to be kept in mind. Workforce statistics and analysis support Banks efficiency and effectiven ess by providing a firm basis for human resource planning. Any information gathering systems in place should support manages and be responsive to their needs as well as being easily accessible in the workplace.

 Training & Development Helping employees to become effective in their jobs is one of the most fundamentally important tasks in people management that any work organization has to undertake. Employers depend on the quality of their employees performance to achieve organizational aims and objectives; employees have motivational needs for development, recognition, status and achievement that can and should be met through job satisfaction and performance achievements. The vocabulary to describe development in the context of work includes terms such as training, development, education and, more recently, human resource development. Attempts are made by some authors to separate these terms by differential definitions. For example, training aims to achieve short-term specific organization objectives; education is directed towards the long-term development of individuals. Definitions of this kind oversimplify a very complicated process. As the common denominator of all of these terms is learning, it is better to see training as a learning process, as defined below, rather than to engage in debates about semantic differences. However, it is accepted that some learning (which may be termed developmental) is undertaken with long -term and imprecise objectives in mind, whereas learning to perform specific tasks may be seen as training to perform a particular role. There is no adequate, all-embracing term to describe this process, although work-directed learning comes close to our view. In the meantime, The word training will be used in discussing the process in the widest possible context, starting with the following comprehensive definition as a foundation for effective practice. Training in a work organization is essentially a learning process, in which learning opportunities are purposefully structured by the managerial, HR and training staff working in collaboration, or by external agents acting on their behalf. The aim of the process is to develop in the organizations employees the knowledge, skills and attitudes that have been defined as necessary for the effective performance of their work and hence for the achievement of the organizational aims and objectives by the most cost-effective means available. In a nutshell, cost-effective training means training that actually achieves the purpose of helping people to perform their work to the required standards and is at the same time affordable, i.e. not unnecessarily lavish, when simpler, less expensive forms would equally well achieve the aim. How is cost-effective training to be achieved? It is achieved by applying basic principles for cost-effective management to the specific situation of training, assuming that effective systems of job analysis and performance appraisal have been established so that performance criteria are defined and assessable. The steps are as follows: 1 Identify training needs who needs training and what do they need to learn? 2 Taking account of learning theory (how people learn), design and provide training to meet identified needs. 3 Assess whether training has achieved its aim with regard to subsequent work performance. 4 Make any necessary amendments to any of the previous stages in order to remedy or improve future practice.

Development is critical to our future business success. Our banks performance will on ly continue to improve if we develop our people you. To develop our people is to invest in our future. We know you have the motivation to succeed, to be good at your job and progress as far as you can. As Standard Chartered, training is a partnership between the employee and the Bank. The Bank provides a framework within which the employee can identify the training and development needs. Such training provides a consistent standard of management learning throughout Standard Chartered. It also enables the employees to take all of the programs or study for individual modules according to their particular development needs. The Initial Two Years What the employee can expect to experience during initial 2 years training is a blend of core and discretionary elements, such as: 1. Induction i.e. the processes that introduces the new entrant to the bank, the employees own business or function and particular department. 2. Training in specific products or technical skills. 3. Work-based assignments in respective business or function i.e. doing a job in a particular department for a period of time. 4. Cross-functional attachments experiencing short period of time spent in another business or support function. Long Term Training Development and training does not stop after two years. After this initial training, the employees are faced with internal development programs, business-related studies and professional qualifications, and the bank also offers the opportunity to develop skills through externally accredited courses. These are designed in conjunction with top universities and business schools including postgraduate, MBA. Accreditation External Schools MBA Certificate in Management Internal Executive Development Diploma in Management Foundation Course Induction Course

Orientation Every staff member joining Standard Chartered Bank has to attend a 2-day comprehensive orientation to get a feel about the Bank and its business. This orientation program provides a good chance to meet with seniors & colleagues and to build up the team spirit.

Product Training Product training is provided e.g. cash product training, operational training etc. to help the related staff to learn more about the products that the Bank is providing. Skill Training The bank provides a lot of skill related training e.g. credit workshop, sales & negotiation skills, project management, etc. to help staff enhance their skill in particular aspects. On-job Training Staff members are continuously involved in the learning process in the form of on-job training. Thus, a lot of on-job training opportunities and job rotation to increase staffs exposure are provided. Self-learning The bank sends out CDs and books to staff for them to study on trade knowledge, credit knowledge, etc. and staff will decide when he/she will attend the Trade Skill Assessment (TSA) and Credit Skill Assessment (CSA). Management Development Training In this training program, the employees are given strategic perspectives and business goals management skills; people management, networking and customer focus abilities to better understand and manage their jobs. Specific Competency Training Specific Competence Training is to ensure that the staff excels in product knowledge, regulatory and unique techniques needed for the particular position. Learning and Development Standard Chartered recognizes that it is essential that they have the best people equipped with the right skills and knowledge to perform their roles to the highest standards. They went talented professionals, who seek self-development opportunities including continuing professional development. In return the Bank offers excellent training and development. They focus development on where they believe that they will get the greatest return, by developing employees strengths. Recruitment Recruitment is arguably the most important of Human Resource functions. For economic activity to take place, the sourcing of people to provide energy, creativity and international activity is essential. All our successes and all our failures in HRM stem from the quality of the people in the organization. Recruitment is the activity which produces candidates, which helps to establish the employer brand, and through recruitment policies has a major impact on the organizational culture. The object of recruitment is to find suitable candidates to meet organizational needs, in as cost effective a way as possible. We are therefore distinguishing between recruitment and selection. In practice, then, the objective of a recruitment procedure is to attract

genuinely suitable candidates and carefully examine their credentials in order to produce a short list for further investigation in the selection procedures. Apart from the methods used and the general administration of the task, the achievement of the objective will depend very much on how efficiently human resource planning and job analysis have been carried out and applied. In short, efficient recruitment of staff may be described as knowing what resources you want, what resources are available, and where and how they may be found cost effectively. For purposes of studying the main details and requirements of an efficient and systematic recruitment process, the task may conveniently be examined under the following headings: 1 Determining the vacancies Sourcing 2 Strategy 3 Recruitment policy 4 Preparing and publishing information 5 Processing and assessing applications 6 Notifying applicants. The Banks Management Trainee Development Scheme takes place where they recruit management trainees. Alternatively, candidates can apply to their local cities. It is the aim of management to recruit young, bright, energetic and enthusiastic graduates and post graduates. Who are they recruiting? 1. Bright, young graduate or a postgraduate, who cannot wait to start his/ her career in the financial services industry. 2. Consistent academic performer throughout his/her education. 3. Career-oriented person 4. Energetic, ambitious, innovative and business-oriented person. Recruitment Criteria Standard Chartered Bank recruits the most talented individuals from the external market to supplement their internal pipeline of talent. Their Human Resources department provides guidance on the use of psychometric tests and has robust recruitment criteria to ensure that all candidates are treated fairly, equally and with respect. It has a global Graduate Recruitment Program; where in the region of 150 graduates are recruited each year on a management trainee program across all businesses, functions and countries. Selection In order to initiate the procedure for selection, we must satisfy the three preliminary requirements depicted in the diagram. First, there must be the authority to select, which comes from the employment requisition, as developed through analysis of the work load and work force. Secondly, we must have a standard of personnel with which we can compare prospective employees. This is represented by the job specification, as developed through job analysis. A planned recruitment program provides us with these applicants.

The selection procedure is essentially a series of methods of securing pertinent information about the applicant. At each step we learn more about the prospect. The information obtained can then be compared with the job specification, the standard of personnel. If the applicant qualifies, he or she advances to the next step. Thus, the job specification and the job applicant are interrelated at each step in the selection procedure. Standard Chartered selects employee based on knowledge, skills and talent. They are committed to providing equality of opportunity to all employees, regardless of gender, race, nationality, age, disability, ethnic origin, or marital status. They are committed not just providing equality of opportunity to all employees, but also identifying what unique strengths each individual brings to the roles they carry out and the development of these strengths. Employee health, well-being and safety Standard Chartered Bank believes that the health and well-being of their employees and their families is important. They are concerned not only about the physical health of their employees, but also their mental and emotional well- being. Standard Chartered has policies & practices that provide for a safe and healthy working environment. They place importance on the safety and well-being of their staff, communities and on the effect its working and operational processes have on the environment. They are continually developing policies and practices designed to maintain the highest appropriate standards. Compensation At Standard Chartered Bank, the compensation package provided to the employees can be divided into two categories. One comprises of the sales personnel who are compensated on their ability to meet their targets. Second is compensating the executives who are responsible for the overall functions of the Bank. Compensating the Sales Force The basic purpose of wage and salary administration is to establish and maintain an equitable wage and salary structure. Its secondary objective is the establishment and maintenance of an equitable labor cost structure i.e., an optimal balancing of conflicting personnel interests so that the satisfaction of employees and employers is maximized and conflicts are minimized. The wage and salary administration is concerned with the financial aspects of needs, motivation and rewards. Managers, therefore, analyze and interpret the needs of their employees so that reward can be individually designed to satisfy these needs. The word 'salary' is defined in the Oxford Dictionary as fixed periodical payment to a person doing other than manual or mechanical work. The payment towards manual or mechanical work is referred to as wages. The word pay refers to the payment for services done which would include salary as well as wages. Wages are commonly understood as price of labor. In ordinary parlance, any remuneration paid for services is etymological wage. Benham defines wage as a

sum of money paid under contract by an employer to a worker for services rendered. How the Bank presents itself to its corporate as well as individual customers is dependant upon the ability of its sales force. These are the individuals who take and active approach is getting the message out about the Banks products and services. How effectively the sales team markets the Bank and in run, how successful it is , is directly related to the sales compensation program. The key to a successful sales compensation program is achieved in three steps: 1. Clearly defining sales goals that are realistic but challenging 2. Tracking and measuring performance against goals 3. Rewarding achievement with competitive and motivational compensation Sales compensation packages typically comprise one or more of the following components: 1. Base Salary 2. Periodic incentives tied to short-term goals 3. Annual Incentives tied to longer-term sales activities 4. Commission-based incentives 5. Perquisites to facilitate sales efforts Executive Compensation The way the Bank pays its top management plays an important role in motivating the critical performance needed to run it effectively. Base salary is not the only component of the typical executives compensation package. Executive compensation packages typically comprise the following components: 1. 2. 3. 4. 5. 6. 7. Base Salary Annual Incentives Long-Term Capital Accumulation Deferred Compensation Arrangements Supplement Benefits and Perquisites Special Severance and Retirement Arrangements Employment and Change of Control Agreements

Reward & Recognition Rewards are seen to be of strategic importance with the overriding principle that the policy for total rewards, including recognition, benefits and the psychological contract, should be aligned to corporate goals, with a clear line of sight from the individuals actions to the rewards for achieving these goals. The removal of bureaucratic reward structures and the predominance of the marketplace in the thinking on compensation and benefits produce an apparent simplification. It is of prime importance that managers understand how to evaluate jobs and how to construct systems for rewarding people as part of their employee relations strategy. The starting point for the manager is to design reward systems that take into account relativities that represent the philosophy of management and the organization strategy that the organization has decided to adopt. There is then a need to control the wage

and salary policies by systems that are flexible and responsive to the marketplace and that grant a place to the interest groups managers and unions who want to be represented. The HR policies that form the general conditions of service are also related issues, since they contribute so much to the organizations culture and the individuals sense of well-being. In the following chapters we will look at job evaluation in its many forms, at how to design pay systems and at salary administration. Finally, we will make an assessment of the policies on the broad conditions of service, such as hours and pensions, which are fundamental to the employment relationship and which create the basis for the employment contract. Standard Chartered Bank aims to reward the talented and high performing employees competitively. They regularly conduct salary surveys to ensure that the reward package remains competitive in the market place. They encourage continuous discussion; encourage regular review of employees performance and development. This provides feedback to the staff about how they are doing. The management links this to both financial and non-financial recognition. In addition to this, the bank provides various incentives in the form of bonuses to encourage the employees and motivate them to continue with their high performance. These include: 1. Spot Award + Taka.. as cash prize 2. Surprise Award 3. Best Performer Award 4. Service Quality Award 5. YES( Year of Excellent Services) Award Quality of Work Life This means a job that not only is reasonably safe but also for which the pay is equitable. At Standard Chartered Bank every employee in confident of his job security and has the assurance that he would remain on the job for the agreed period. In addition to this, the workload is equitable divided between the employees and therefore, they work with peace of mind and tranquility, resulting in the overall enhanced performance of the employees. Mutual Commitment Both the employees and the management try to meet the common objectives. They coordinate their activities to ensure that they are heading towards achieving the established goals and meeting the set targets within the specified time frame. Mutual trust At Standard Chartered Bank prevails an environment of confidence and mutual trust. The documented employment policies are honestly implemented to the satisfaction of both management and employees. Job Design

Job design comprises of six components. These are:

Labor Specialization The Bank aims at hiring specialized people and their recruiting criteria are based on their knowledge, expertise, past working experience and their exposure to the professional fields. Employee wages are set in accordance with the aforesaid recruitment criteria and most of them are intent with what they earn at Standard Chartered Bank Job Expansion The Bank improves the quality of work life by assigning various tasks to the employees so as to equip them with the different services offered by the Bank. Job expansion includes job enlargement, rotation, enrichment and empowerment. Psychological Components For enhancing the skills and abilities of the work force, the psychological components of job design are also catered for by Standard Chartered Bank. These psychological components focus on how to design jobs that meet some minimum psychological requirements of the employees. These components are utilized in accordance with Core Job Characteristics, which suggests that the jobs designated to the various employees in the bank include the following five aspects: 1. Skill Variety 2. Job Identity 3. Job Significance 4. Autonomy 5. Feedback Self-Directed Teams A self-directed team is a group of empowered individuals working together to reach a common goal. At Standard Chartered Bank , these teams are found in almost every department to achieve the set targets. These teams are an integral part of the personal loans , sales and credit cards department where they are established to achieve both, the short-term as well as long term objectives. Motivation and Incentive Systems Sometimes the psychological components are not enough for motivating the employees. In this case, monetary incentives play a vital role for increasing the commitment of the employees toward their jobs and in return enabling them to have job satisfaction. These monetary incentives and rewards are given in various forms to the employees who act as a strong motivational factor. These could be given as: 1. Spot Award + Tk. as cash prize 2. Surprise Award 3. Best Performance Award 4. Service Quality Award Ergonomics Ergonomics is the study of work. It deals with building a good interface between the man and the machines. Keeping this in view, the Bank has been designed in such a way so that the employees are comfortable working there.

 Performance Management Traditionally, the formal performance appraisal system has been viewed as the primary means for managing employee performance. Performance appraisal is an administrative duty performed by managers and primarily the responsibility of the HR function. Performance management is the process through which managers ensure that employee activities and outputs are congruent with the organizations goals. It is central to gaining competitive advantage. Components of Performance Appraisal At Standard Chartered Bank the components of performance appraisal are in respect of the five Ws that include: Who, What, Why, When and Where of performance appraisal. Who: All employees work under the supervision of managers. Therefore, the manager is the best person to do performance appraisal of his subordinates. What: The appraisal at the organization includes appraisal of current performance as well as the future potential. It also includes evaluation of human traits such as behaviors, interaction with other staff members etc. Why: It is concerned with creating and maintaining a satisfactory level of performance of employee in the present job, highlighting his needs and potential for personal growth. When: It is carried out on yearly basis. The manager uses good work as opportunity to provide positive thrust and uses poor work as a basis for training. Where: The performance appraisal is done in a cordial and friendly environment. Approach of Measuring Performance The performance of the employees can be determined by making an overall comparison among individuals performance. Hence a performance measurement system is developed that incorporates a tool for measuring performance. Appraising Employee Performance Individual Performance Management A longstanding question that Standard Chartered Bank and many other organization are still grappling with is whether and how to reward good performance (or, conversely, how to deal with persistent poor performers). One approach used by the bank is to make salary increments or progression on the pay scale conditional on good performance. Performance Management at Senior Levels Typically, performance management systems for senior officials include elements additional to performance-pay, such as time-limited contractual appointments. The Bank has adopted this approach. Key features of its system include the following: 1. Senior officials are recruited to a unified career structure known as Grade A, which incorporates most top-level positions.

2. On the basis of evaluation, the senior position employees are paid a performance bonus. Linking Performance to Promotions Some have argued tying career advancement to performance is more important than linking performance and pay. Whereas the benefits of pay for performance are uncertain, particularly in the lower echelons, there is no doubt of the need to ensure that the best people rise to management levels. Analysis

HR Planning HR Planning process consists of forecasting, goal setting and strategic planning, and program implementation and evaluation. HR managers should attempt to ascertain the supply of and demand for various types of human resources. The primary goal is to predict areas within the organization where there will be future labor shortages or surpluses. The Bank operates in a dynamic environment where new and advanced practices are frequently emerging resulting in changing customers requirements. Not only this, the demands on existing staff resources fluctuate in order to maintain the provision of services, it becomes even more critical that all managers contribute to HR planning in a structure way. Recruitment Human Resource Recruitment is defined and any practice or activity carried on by the organization with the primary purpose of identifying and attracting potential employees. The goal of an organizational recruitment program is to ensure that the organization has a number of reasonably qualified applicants (who would find the job acceptable) to choose from when a vacancy occurs. Standard Chartered Bank recruits the most talented individuals from the external market to supplement our internal pipeline of talent. Their Human Resources department provides guidance on the use of psychometric tests and has robust recruitment criteria to ensure that all candidates are treated fairly, equally and with respect. It has a global Graduate Recruitment Program; where in the region of 150 graduates are recruited each year on a management trainee program across all businesses, functions and countries. Selection Any organization that intends to compete through people must take the utmost care with how it chooses organizational members. Personnel selection is the process by which companies decide who will or will not be allowed into their organization. Several generic standards should be met in any selection process, which are reliability, validity, generalizability, utility, and legality.

Standard Chartered selects employees based on knowledge, skills and talent. They are committed to providing equality of opportunity to all employees, regardless of gender, race, nationality, age, disability, ethnic origin, or marital status. Training & Development Training refers to a planned effort by a company to facilitate the learning of job-related knowledge, skills, or behavior by employees. Standard Chartered provides a framework within which the employee can identify the training and development needs. Such training provides a consistent standard of management learning throughout Standard Chartered. It also enables the employees to take all of the programs or study for individual modules according to their particular development needs. Development Programs are carried out in the first two years of joining, applicable to all management trainees, across the Bank. Each business and function would decide the appropriate development needs for each individual, within this overall framework. Performance Appraisal Each organization must create and communicate performance measures that reflect its unique strategy. Performance management is the process through which managers ensure that employee activities and outputs are congruent with the organizations goals. It is central to gaining competitive advantage. A well-executive performance management plan enables an organization to achieve critical goals such as: 1. Recognize the efforts and contributions of current staff. 2. Reward staff with compensation directly linked to performance. 3. Motivated staff to improve performance. 4. Orient staff towards goal achievement. 5. Retain key employees through the use of competitive compensation programs. 6. Attract quality employees with an effective performance management system. The key elements of a Performance Management System include the following: 1. A Formal Compensation Philosophy Statement 2. Salary Administration Program 3. Job Evaluation System 4. Performance Appraisal System 5. Reward Programs Purpose of Performance Appraisal There are a number of reasons for carrying out the performance appraisal of employees such as promotion, transfer etc. Therefore, the Bank makes sure that the employees clearly understand the objectives of the performance appraisal. Performance Measurement Criteria Once the Bank has determined what kind of performance it expects from the employees, it needs to develop appropriate ways to measure that performance.

Strategic Congruence The basic aim of Standard Chartered Bank is to provide speedy customer services. Therefore its performance management system should assess how well its employees are serving the customers. Strategic congruence emphasizes the need for performance management system to provide guidance to the employees so that they can achieve the Banks and enable it to remain competitive. For this purpose the system should be flexible to adapt to changes. Validity According to the employees, the appraisal procedure used to measure their performance lacks in one aspect. This aspect relates to the deficiency element of validity. This means that as one standardized formant is used to evaluate performance, therefore it ignores many of the job specific aspects. Reliability At Standard Chartered Bank the performance management criteria resembles testretest reliability. According to this the employees are evaluated on annual basis and those employees who have somewhat similar ratings from year to year have greater chances of getting promotion, bonuses etc. Therefore, the Bank checks the consistency of performance of employees in this manner and determines that which employees have the potential to grow and better serve the customers. Acceptability Diverging opinions prevail about the acceptability of the performance appraisal. Some employees accept them to be fair while others believe them to be biased and predetermined. In addition to this the views regarding fairness are perceived differently within the three categories including: 1. Procedural 2. Interpersonal 3. Outcome Specificity One of the major lacking in the performance appraisal method of Standard Chartered Bank is in the area of specificity. Amongst the various levels of employees the performance evaluation is believed not to provide specific guidance about what is expected of them and how they can meet these expectations. Source for Performance Information In case of Standard Chartered Bank, managers are the only and most vital source of performance information. They have extensive knowledge of the job requirements and adequate opportunity to observe the way in which the employees fulfill these requirements, thus, they are the best source to assess and rate their employees. Rater Errors Like all other organizations, in Standard Chartered Bank the performance evaluation process is affected by the raters error. The rater error prevailing in the bank resembles the distributional errors. In the bank the managers often go by their own preference

while rating the employees. Therefore there are high chances of making leniency, strictness, and central tendency errors. Top Management and Employee Perspective Although the performance management system at Standard Chartered Bank has a vital role to play in assessing the potential of the employees it is yet to perceive a routine and cumbersome affair that has to be undertaken once a year. This perception somewhat nullifies the true essence in the performance management should be conducted. Shortcomings of the Appraisal System The performance appraisal system at the Bank lacks in certain areas such as: 1. Information regarding the employees performance is purely dependent upon their managers. However, the employee are of the view that information should also be collected from them as they are the ones who perform are responsible for performing the various tasks. 2. Thus, a major shortcoming of the system is that the employees are not involved in the appraisal process. 3. The performance appraisal system is believed not to provide any guidance for the development of employees. 4. The employees are of the opinion that the performance appraisal should be done on quarterly basis, instead of being conducted annually. Necessary Measures Adopting the following measures can reduce the shortcomings of the system: Employees should be involved in the appraisal process, i.e. information should be taken from them. The process should result in effective outcomes by telling the employees that how can they improve their performance. This would not only benefit the Bank, but would also help the employees in their personal development. Compensation Being a leading Bank Standard Chartered Bank presents itself to its corporate as well as individual customer as dependent upon the ability of its sales force. These are the individuals who take an active approach in getting the message out about the Banks products and services. How effectively the sales team markets the Bank, and in turn, how successful it is, is directly related to the sales compensation program. A sound sale compensation package enables Standard Chartered Bank to focus sales activities towards desired results, and rewards these outcomes with compensation tied directly to the level of achievement. Rewards & Recognition Standard Chartered Bank rewards the talented and high performing employees competitively. They regularly conduct salary surveys to ensure the reward package remains competitive in the market place. They encourage continuous discussion; encourage regular review of employees performance and development. This provides feedback to the staff about how they are doing. The management links this to both financial and non-financial recognition.

In addition to this, the bank provides various incentives in the form of bonuses to encourage the employees and motivate them to continue with their high performance. These include 1. Spot Award + taka. as cash prize 2. Surprise Award 3. Best Performance Award 4. Service Quality Award Recommendations Based on the study, several recommendations have been made. These include: 1. In order to successfully conduct the performance measurement process, Standard Chartered Grindlays Bank should formulate effective internal and external communication mechanism. 2. A conceptual framework understood by all levels of the bank should be developed. 3. Accountability for results must be clearly defined and well understood. 4. Performance measurement system must provide intelligence for decision makers rather than just compiling data. 5. Compensation rewards and recognition should be linked to performance measurements. 6. Performance evaluation should be positive and not punitive. 7. Employees should be specific as to what is expected from them so that they direct their efforts towards achieving those expectations. 8. Feedback on the evaluation should be provided to the employees so that they can improve their performance. 9. Lastly, performance measurement systems should not be seen as an end, but a beginning.