HR activities in SQUARE Textile Ltd. Tamima Hossain Asst.

Professor MGT-302 Moazzam Hossain School of Business Presidency University April 09, 2012 Ayesha Siddika Group Leader Student of MH School of Business, Presidency University Dear Madam, Subject: Submission on report performance appraisal and training & development of Square Textile Ltd. This is to inform to you that we are truly & deeply grateful for being provided this report with all the knowledge during lectures that has further contributed in my report to understand intricate aspects of courses that I completed till now. This report has also given us the opportunity to get overall the perception performance appraisal and training process that are made by Human Resource management in an organization. Beyond any doubt, this term paper has enriched me with knowledge & information that contributed to elevating our experience. We have given our best effort at every stage of perception & completion of this report. Therefore, we pray and hope that you would be kind enough & aspect this report & oblige thereby. Sincerely, -----------------------Ayesha Siddika Rijia akhter Md. ID: 081 211 025 Other members of the group:

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HR activities in SQUARE Textile Ltd.

ACKNOWLEDGEMENTS
We want to thank, Miss Tamima Hossain an honorable faculty of Presidency University, for his guidance, supervision & suggestion through out of the study period of our term paper. His continuous support and re-enforcement has encouraged us to do the study work properly. We are thankful towards all the students of this course who give valuable opinion and honest replies, which were very essential to complete the report. We are also very thankful to the Square Textile Ltd. whos supported us a lot for making our efforts successful. All over again we want to give our millions of thanks and our honest respect to her who always time try to teach us new difficult things in a easy way, she is our honorable course instructor Tamima Hossain madam . At last we are grateful to our almighty Allah, because we have been able to complete the term paper within the given time period.

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HR activities in SQUARE Textile Ltd.

TABLE OF CONTENT:

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HR activities in SQUARE Textile Ltd.

EXECUTIVE SUMMARY
Square Textile Ltd. started its operation in 1997. It was enlisted in Dhaka Stock Exchange & Chittagong Stock Exchange in 2002. The business lines of Square Textile Ltd. are manufacturing and marketing of yarn. Its factory is located in Gazipur, Dhaka. The manufactures 100% Cotton Ring Span Yarn or Hosiery, 100% Cotton OE Rotor for Hosiery and Knit Fabrics for 100% export oriented readymade Garments Industry. The strategic Goals and Objectives of the Company are to strive hard to optimize profit though conduction and transparent business operations and to create more competitive in the internal and external market. In home, customers of Square Textile Limited are export oriented readymade Garments Industry. The Company also exports its products to the market of Europe & USA. The local sales revenue decreased by 29.71% in 2010 over the previous year the export revenue rose by 15.65% during the year under review over 2009. The overall turnover also increased by 14.50% during 2010 over 2009. Square is one of the biggest employees in Bangladesh. It has a personnel and administrative department. The total numbers of 1884 employees (till December 31, 2009) are working in this organization. For the employees there is systematic in house training in home and abroad. The managing director, the CEO is the head of the executive management team. Below in there are directors, executive directors and general manager. Under the direct super vision of the general manager a number of departments are controlled. The Company is going through continuous growth in production. The total production increased year on year basis at the rates of 3.93% and 4.67% during 2009 and 2010 respectively. The Companys operations are out on a aggregate basis and are managed as a single opportunity segment. The Company uses Computer Aided Design (CAD), Computer Aides Spreading (CAS) and Computer Aided Manufacturing (CAM) in its plant to increase the overall efficiency and productivity.

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HR activities in SQUARE Textile Ltd. INTRODUCTION: This report is prepared as a requirement of the course Human Resource Management. We selected Square Textiles Ltd. Working on this organization we came to know various Kind of HRM practice which are used here. Though it is a textile, it has proved itself in the related industry as a major competitor. In this report we have followed the guidelines provided by the teacher. Here we have tasked mainly the the performance appraisal and training & development program but also the HRM practice, overview and industry analysis of the company. We try to find and understand by worked on this term paper that what HRM practices use in organization. How they measure to performance and train their employees. We learned the HRM practices issue in this course and we try to relate that knowledge in realty. We select the square textile ltd as our working organization. Square has a personal and administrative Department. Square is one of the biggest employers in Bangladesh. They have 1884 employees and HR department for them. The HRM department of the company practices following activities Recruitment & Selection Training & Development Performance Management Job analysis & design Incentives Benefits Although we work on performance appraisal and training & development of the company but also find that they motivate the employees, along with salary and benefits the company provides various facilities like free meal, free transportation, 24 hour medical center, on site sports. Production and accommodation facilities include full time supply of safe drinking water, adequate lighting and ventilation facilities from sheet.

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HR activities in SQUARE Textile Ltd.

OBJECTIVE
The main objective of this report is to provide an overview of HRM practice, specially performance appraisal and training & development program of Square Textiles Ltd. The specific objectives of this report are: providing Company overview To provide market overview and analysis Discuss all HRM practice performance appraisal and training & development program

LIMITATIONS
First of all it must be mentioned that the members of our group are student, and not professional researchers, therefore a consideration from the course instructor would be welcoming. Lacking of information was a big factor. We conducted the assignment during our ongoing course, thus facing serious time constrains. The collection of primary data is always a difficult one because it is hard to ensure the authenticity of the data. While working for this report we found it very difficult to get assistance from the internets, books, articles. As a result, it took us a lot of time to gather information from various sources and enclosed them to create the report. Last but not the least; it is never possible to obtain 100% accurate data. Due to this we abridged the report as much as possible and tried to present it systematically.

METHODOLOGY
To find out our objective we are going to apply both Exploratory and Descriptive research. Because we mainly depended on primary and secondary data. Sources of information are: Primary Sources: The primary information is collected through published materials. Secondary Sources: Published Report on HRM practice in different organization, Net surfing, Books & Journals etc.

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HR activities in SQUARE Textile Ltd.

COMPANY OVERVIEW ABOUT COMPANY:

Square Textiles Ltd. started its journey by establishing the first unit in 1997. One year later the second unit was established. Square Textile is a subsidiary company of Square Group .The Company was incorporated as a public limited company in the year of 1994. The operation was started in 1997.It was enlisted in Dhaka Stock Exchange & Chittagong Stock Exchange in 2002. Within a very short time of span the company achieved some significance success. Square Textile receives Oeko-Tex standard 100 and ISO-9002 certificates in the year 2000. Authorized capital of the company is tk. 1000 million. Its paid- up capital is tk. 251.90 million. 1,884 employees are working in this organization. The business lines of Square Textiles Limited are manufacturing and marketing of yarn. The factory is located in Saradaganj, Kashimpur, Gazipur, Bangladesh. Its office is located at Uttara in Dhaka

MISSION STATEMENT:
The mission statement of Square Textiles Limited is Our mission is realization of vision through maximum production of goods and services strictly on ethical and moral standards at minimum costs to the society ensuring optimum benefits to the shareholders and other stakeholders. This mission is envisioned by the concept of business which ensures wellbeing of the investors, stakeholders, employees and members of the society which will create new wealth in the form of goods and services.

KEY PRODUCT / SERVICES:

As stated earlier the business line of the company is manufacturing and marketing of yarn. It manufactures: 100% Cotton Ring Span Yarn For Hosiery 100% Cotton OE Rotor Yarn for Hosiery Knit Fabrics for 100% export oriented readymade Garments Industry. It also performs the following services: Dying & Post Mercerization. Fabric Dying

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HR activities in SQUARE Textile Ltd. The final output is marketwise by Square Fashion Ltd. In Square Textile Limited two types of products are produced in two different units. These are as follows: Unit 1: Combed and Carded Yarn from a count range of Ne.10 to Ne.80. Unit 2: Combed Ring Yarn from a count range of Ne.20 to Ne.40. In Square Spinning Ltd. 100% Cotton Carded and Combed Yarn in the count range of Ne.16 to Ne.30 are produces. Finally in Square Fashions Ltd. Readymade Knit Apparels like T-shirts, Polo shirts, Tank tops, Pajamas, Sport wear, Under garments, Mens & Ladies fashion wear , Kids wear etc

STRATEGIC GOALS & OBJECTIVES:

The company sets the following objectives for it to achieve: To strive hard to optimize profit through conduction of transparent business operations within the legal and social framework with malice to none and justice for all To create more jobs with minimum investments To be competitive in the internal as well as external markets To maximize export earning with minimum imported in-puts To reduce the income gap between top and bottom categories of employees. Thus the company focuses to pole-star its mission that fulfill the objective with emphasis on the quality of the product , process and services blended with good governance that help build the image of the most enable corporate citizenship at home and abroad . The company wants to produce such society friendly goods and services that go to satisfy the wants of all the relevant party without disturbing or damaging the socio- economic and ecological, balance of the mother earth and the process of human civilization leading to peaceful coexistence of all the leaving beings. The company always strives for top quality products at the least cost reaching the lowest rungs of the economic class of people in the country. The company values its obligation to the greater society as well as it strives to protect the interests of its shareholders and to ensure highest return and growth of their assets.

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HR activities in SQUARE Textile Ltd.

COMPETITOR ANALYSIS:
Only in few years back textile sector in Bangladesh was left behind but current scenarios is different. In recent years a mentionable figure of money has been invested in this industry. Government is also encouraging this sector. Government is making some favorable policies and minimizing the regulations, so that this sector can be grown up. Among the domestic companies Square is one of the leading one. The other potential competitors are Padma Textiles, Shamim Textile etc. Competition will be severe after 2005, that is, during the post multifiber agreement period. World market will be Quota free at that time. So Bangladesh will have to compete with countries like Srilanka, China, Pakistan, Vietnam etc.

Industry analysis
The textile industry in Bangladesh, now the sixth largest exporter of apparel in the world after a decade of spectacular economic growth, has positioned itself to benefit from the current global economic crisis. Production of ready-made garments (RMG) and knitwear is at an alltime high. Many challenges remain, but the overall outlook for this nation's industry remains bright. Even though the textile or garment industry is relatively new in Bangladesh having come into its own in the 1970's, it is a key feature of the economy of this country. The textiles and clothing industry is Bangladeshs biggest export earner with value of over $ 16 billion of exports in 2009-10. Textile exports (including apparel) accounted for 76% of the national export in FY 2007, an increase from 41% in FY 1989 and 66% in FY 1995. There are 129 companies listed in 'Textile companies in Bangladesh. This rapidly growing sector of the Bangladeshi economy offers a unique competitive edge that supports profitable expansion into new strategic markets. After elimination of the quota system in 2005, the recent economic recession is reshaping the global apparel supply chain and importers procurement strategy, which has had a considerable impact on Bangladesh, said the World Bank. Today, the textile industry accounts for about $5 million in exports and provides jobs for about 3 million workers and 80 percent of the three million garment workers in Bangladesh

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HR activities in SQUARE Textile Ltd. are women, accounts for 76% of Bangladesh's total export. It has shown a growth rate of 25.3% in 2005-06 There are some Highlights of this SectorCost and quality of products that are produced on time, reliably and very competitively with a highly skilled labor force. A unique regional location for expansion into key Eastern and other markets. Favored trading status with the EU and the USA. Clusters of companies providing a local supplier base with real depth in skilled labor, training and technical development facilities. The growing demands for yarn in the local market, comparatively low cost of doing business, lucrative incentive packages and a favorable investment policy regime are important reasons for investment in this sustainable sector. The Bangladesh RMG industry has become very competitive as a global standard RMG source. Marketing investments have been made in trading partner economies; end users can often differentiate products with confidence. The quota-free textile regime (since 2005) has proved to be a big boost for the textile industry.

Human resource management in Square textile ltd.

Square has a personal and administrative Department. Square is one of the biggest employers in Bangladesh. The total number of employees is 1,884. For the employees there is systematic in house training in home and abroad. To motivate the employees, along with salary and benefits the company provides various facilities like free meals , free transportation , 24 hour medical center , on site sports . Production and accommodation facilities include full time supply of safe drinking water, adequate lighting and ventilation facilities from sheet.

HR Practices of SQUARE textile

Recruitment & Selection Training & Development Performance Management & Employee relation

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HR activities in SQUARE Textile Ltd. Job analysis & design Incentives Benefits We briefly discuss only about performance appraisal and training & development program of Square Textiles Ltd.

Performance appraisal and training & development of Square Textiles Ltd. Training and Development program
Training is a process of learning a sequence of programmed behavior. It is application of knowledge. It gives people an awareness of the rules procedures to guide their behavior. It attempts to improve their performance on the current job or prepare them for an intended job. Development is a related process. It covers not only those activities which improve job performance but also those which bring growth of the personality; help individuals to the progress towards maturity and actualization of their potential capacities so that they become not only good employees but better men and women. In organizational terms, it is intended to equip person to earn promotion and hold greater responsibility. There are many types of method practices in SQUARE .we discuss that method at bellow: On the job training On the job training is a training that shows the employee how to perform the job and allows him or her to do it under the trainers supervision On the job training is normally given by a senior employee or a manager like senior merchandiser or a manager. The employee is shown how to perform the job and allowed to do it under the trainers supervision. Job rotation Job rotation is a training that requires an individual to learn several different some in a work unit or department and performer each job for a specified time period. In job rotation, individuals learn several different job within a work unit or department. Apprenticeship training Page 11 of 17

HR activities in SQUARE Textile Ltd. Apprenticeship training provides beginning worker with comprehensive training in the practical and theoretical expect of work required in a highly skilled occupation. Apprenticeship program combined of the job and classroom training to prepare worker for more than eight hundred occupation such as computer operator, sewing technician. Length of selected apprenticeship courses of SQUARE: Occupation Quality control manager Quality control officer Cutting Astt. Manager Packing Astt. Manager Ware house Astt. Manager Production officer Sewing technician Sewing Supervisor Classroom training Classroom training is conducted off the job and probably the most familiar training method. It is an effective means of imparting information quickly to large groups with limited or no knowledge of subject being presented. It is useful for teaching factual material, concepts principle other theories .portion of orientation programs, some expects of apprenticeship training and safety programs are usually presented utilizing some form of classroom instruction. More frequently however, classroom instruction is used for technical, professional and managerial employee Development of the human resources The long term development of human resources as distinct from training for a specific job is of growing concern to HR departments of SQUARE .Throw the development of current employees the department reduces the companys dependents on haring new workers .if employees are developed properly the job openings found throw HR planning are more likely to be filled internally promotions and transfers also show employees that they have a career not just a job. The employee benefits from increased continuity in operations and from employees who fail a greater commitment. HR department is also an effective way to meets several challenges including employee obsolescence, international and domestic diversity, technical challenges. Affirmative action length (months) 13 15 7 7 5 3 5 5

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HR activities in SQUARE Textile Ltd. and employee turn over. By meeting these challenges the department can, maintain an effective workforce.

Performance Management
Performance appraisal is the process of assessing employees past performance, primarily for reward, promotion and staff development purposes. Performance appraisal (is) a process that identifies, evaluates and develops employee performance to meet employee and organizational goals. Performance Appraisal doesnt necessarily use to blame or to provide a disciplinary action. Previous management theories used to view performance appraisal as a stick that management has introduced to beat people. Performance appraisals are now more clarified and they concentrate on developing organizational strengths and employee performance. Purpose of Performance Appraisal in SQUARE To review past performance To assess training needs To help develop individuals To audit the skills within an organization To set targets for future performance To identify potential for promotion To provide legal & formal justification for employment decision To diagnose the hidden problems of an organization

Performance Appraisal Process: Who Appraises? Supervisors Subordinates Peers Clients/customers Self 180/360 degree approach appraisal

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HR activities in SQUARE Textile Ltd. Approaches to measuring performance in SQUARE textile: There is various kind of method for measuring performance appraisal. But we get information that SQUARE uses only three type of performance method. These are at below: 360- degree feedback Experience based.

We describe those at below:

360-degree feedback

One currently popular methods of performance appraisal is called 360-degree feedback. With this method managers peers, suppliers or colleagues are ask to complete questionnaire. The questionnaire is generally lengthy. Experience based

SQUARE measures the performance of employees by experience. For example MR. X has been working in SQUARE for three years and MR. Y has been working in SQUARE for two years. So, SQUARE favors MR. X for his more experience.

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Findings:
Textile industry is a comparatively new in our country . The size of the industry is still growing. Square Textiles Limited is one of the first movers in this sector. Starting only in 1997 , it has managed to be grown up as one of the countrys leading Textile Company . Its increase turnover has been significantly increasing, since 1997-2007. It is providing employment to a large number of skilled and unskilled people all over the country. The Company contributed an amount of taka 37.892 million to the national exchequer in different forms like Cooperate Income Tax, Advance Income Tax, Ecise, Vat, Import Duties, Taxes, Government Taxes , Stamp Duties, License Fees etc. The Company contributed substantially to the Foreign Exchange Reserve of the country through its export marketing operation. In 2007its net export earning was taka 1021.368 million.

Recommendations:
From the analysis with the organization structure we have seen that its span of super vision is too large. A number of departments report directly to the general manager. If the number were less the efficiency and productivity of the organization might be increased. Quality control department should remain prompt always. So that it can maintain a certain level of standard as per the market demand to capture the foreign market share it should strive more.

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CONCLUSION
In the end it can be concluded that, Square Textile Ltd. the flourish of any industry requires combined efforts and co-operation from several parties. Social, political and macro economic environment play pivotal role in this regard. Though Square Textile is a newly Ventured Company in the respective sector, its growth and expansion is praiseworthy. Its contributing the country and serving the nation in different ways. If it can up hold its much toward advancement, it will be able to set an HR role model in our country. However, for doing this research we used our best analysis and learned knowledge. The work has undoubtedly simulated the practicing of brainstorming for the members to a neverbefore-imagined extent. We acknowledge that it is not full proof and require further modification as we believe that research is a never ending process.

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Reference:
Gary Dessler Human Resource Management, Prentice-Hall of India Private Limited, 10th edition. http://en.wikipedia.org/wiki/Economy_of_Bangladesh http://www.manufacturebd.com/images/state_of_cotton_and_textile_industry_in_bangladesh. pdf http://www.helium.com/items/1199431-textile-industry-in-bangladesh-garment-industry-inbangladesh-bangladesh-textile-industry http://www.btj.com.bd/ http://boi.gov.bd/key-sectors/garments-a-textiles http://hr.list-of-companies.org/Bangladesh/Keywords/Textile/ http://textile.squaregroup.com/download/stxl_annual_report_2010.pdf http://textile.squaregroup.com/sqtextile.html

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