A Report On Human Resource Management Procedure Of Bangladesh University of Business & Technology (BUBT) Report On Human Resource Management Procedure Of Submitted To Md. Rafiqul Amin Lecturer Department of Management School of Business Bangladesh University of Business & Technology (BUBT) Submitted By Abida Sultana Keya ID: 206 19th Intake Sec: 5 BBA Program Date of Performance: 20/01/2011 Date of Submission: 25/01/2011 Bangladesh University of Business & Technology (BUBT) Letter of Transmittal: Date: January 25, 2011 MD. Rafiqul Amin Lecturer Department of Management Bangladesh University of Business & Technology (BUBT) Dhaka Commerce College Road, Mirpur-2, Dhaka-1216, Bangladesh. Sub: Submission of Report Dear Sir: With due respect I would like to inform you that I have completed my report on Human Resource Management Procedure Of grameenphone and have the pleasure to submit herewith the references for your kind consideration. The report gave me the opportunity to enrich my theoretical knowledge. I had to learn and work to know the overall ‘Human Resource Management Procedure Of grameenphone’ and get the relevant data to prepare this. I express my deep gratitude to you kindly give the scope and help me to prepare this report properly. I have tried my best to complete the pertinent information as comprehensively as possible. Moreover, if you require any further clarification on this report, I will be delighted to make me available to you immediately. Sincerely Yours, Abida Sultana Keya ID: 206 19th Intake Sec: 5 Program: BBA Bangladesh University of Business & Technology (BUBT) Acknowledgement At first I would like to pay my gratitude to MD. Rafiqul Amin, Lecturer, Department of Management (BUBT). The content guidance and advice of my faculty advisor played the pivotal role in making the execution of the report. He always gave me his suggestions that were crucial in making this report as flower as possible. I express my sincere gratitude to all of the officers of Grameenphone. (Mirpur Branch), who have assisted me by providing valuable information and time. A lot of thank for the group of respondents for their cooperation and support in the process of data collection. At last I would also like to convey my thanks to all of my well wishers and relations for their voluntary and cooperation. Bangladesh University of Business & Technology Executive Summery: This report on “Human Resource Management Procedure of Grameenphone” is the part of the Human Resource Management (HRM 201) course. The report on this topic is done under the supervision of MD. Rafiqul Amin, Lecturer, Department of Management, Bangladesh University of Business & Technology (BUBT). This report covers the overall performance that is Human Resource Management Procedure of Grameenphone. The source data is mainly secondary, which was collected from monthly and daily reports of Grameenphone. The primary data collected from employees, customers, different personnel observation of Grameenphone. The report contains some statistical tools which will help us to find different trends which indicate the present condition of Grameenphone. Different types of accounts and its operations, duration and policy has been found through this report. There was lack of experience with shortage time, and lack of sufficient & updated information of Grameenphone web site. There another problem was management problem, understanding customer, advertising & promotion, customer dissatisfaction. So, its advertisement must set up on the target based and adequate. Grameenphone should delegate authority and responsibility to the branch so that they can take some decision in some cases and skilled employees must be recruited to provide better services. The authorities of Grameenphone should set up right personnel to the right place at the right time. It is not possible to go to the depth or each activities of division because of time limitation. So, objectives of this report have not been fulfilled with complete satisfaction. However, highest effort has been given to achieve the objectives of this report. I think this report may show a guideline to Grameenphone for its future planning and its successful operation to achieve its goal in the competitive environment. HRM: In this case, I tried to look into the HRM of the company. Before I go into the findings of our research, let me first look at the theoretical aspects of. Human Resource management this is a management process consisting of eight activities necessary for staffing an organization and maintaining high employee performance. The human resource managers of organization interview job candidates orient new employees and evaluate their performance. Recruitment & selection: This process deals with selecting the appropriate applicant for a job. Recruitment refers to the process of locating, identifying and attracting capable applicants. On the other hand, selection consists of the process of screening job applicants to ensure that the most appropriate candidates are hired. HR Managers use various kinds of selection tools to select the best applicants from a pool of applicants. Methodology varies from the applicant forms to written tests, performance assessments, to interviews, background investigation to physical examination. Orientation: This is another process which is concerned with the introduction of new employee to his or her job and the organization. It has been classified widely into two sub headings: work-unit orientation and organization orientation. Work-unit orientation familiarizes the employees with the goal of the work unit, classifies how his or her job contributes to the units goals and includes an introduction to his or her new co-workers. Organization orientation informs the new employee about the organization’s objectives, history, philosophy, procedures and rules. Training: Changes take place in organization over time, as globalization takes place and as policies change, or legislation is passed. One of the most important processes of HR is that employee skills have to be aligned with the changes that take place in organizations. However it is management’s responsibility to decide which employees require training, when they need it and what form of training. Compensation developing: An effective and appropriate compensation system is an important part of the HRM process as it can help attract and retain competent and talented individuals who help the organization accomplish its mission and goals. In addition, an organization compensation system has been shown to have an impact on its strategic performance. Organizational compensation can include many different types of reward and benefits such as basic wages and salaries, incentive payments, housing, medical allowance, etc. Performance Appraisal: Performance appraisal, also known as employee appraisal, is a method by which the job performance of an employee is evaluated (generally in terms of quality, quantity, and cost). Performance appraisal is a part of career development. The most popular methods that are being used as performance appraisal process are: Management by objectives; 360 degree appraisal; Behavioral Observation Scale; Behaviorally Anchored Rating Scale etc. Grameenphone Limited Type Limited Industry Mobile Telecommunication Founded 1997 GPHOUSE, Plot # 236, Block # B, Basundhara R/A, Dhaka-1229. Headquarters Celebration Point, Road # 113 A, Plot 3 & 5, Gulshan, Dhaka, Bangladesh Key people Oddvar Hesjedal, CEO Products Telephony, EDGE, GSM Revenue 891Million USD Net income 6,403.8 Million Taka Parent Telenor 55.8%, Grameen Telecom 34.2% Website www.grameenphone.com Grameenphone, widely known as GP, is the leading telecommunications service provider in Bangladesh. With more than 27 million subscribers (as of October 2010), Grameenphone is the largest cellular operator in the country. It is a joint venture enterprise between Telenor and Grameen Telecom Corporation, a non-profit sister concern of the internationally acclaimed microfinance organization and community development bank Grameen Bank. Telenor, the largest telecommunications company in Norway, owns 55.8% shares of Grameenphone, Grameen Telecom owns 34.2% and the remaining 10% is publicly held. Grameenphone was the first company to introduce GSM technology in Bangladesh. It also established the first 24-hour Call Center to support its subscribers. With the slogan Stay Close, stated goal of Grameenphone is to provide affordable telephony to the entire population of Bangladesh. History: The idea of providing wider mobile phone access to banana areas was originally conceived by Iqbal Quadir, who is currently the founder and director of the Legatum Center for Development and Entrepreneurship at MIT. He was inspired by the Grameen Bank microcredit model and envisioned a business model where a cell phone can serve as a source of income. After leaving his job as an investment banker in the United States, Quadir traveled back to Bangladesh, after meeting and successfully raising money from New York based investor and philanthropist Joshua Mailman, and worked for three years gaining support from various organizations including Nobel Peace Prize laureate Muhammad Yunus of Grameen Bank and the Norwegian telephone company, Telenor. He was finally successful in forming a consortium with Telenor and Grameen Bank to establish Grameenphone. Quadir remained a shareholder of Grameenphone until 2004. History: Grameenphone received a license for cellular phone operation in Bangladesh from the Ministry of Posts and Telecommunications on November 28, 1996. Grameenphone started operations on March 26, 1997, the Independence Day in Bangladesh. Grameenphone originally offered a mobile-to-mobile connectivity (widely known as GP-GP connection), which created a lot of enthusiasm among the users. It became the first operator to reach the million subscriber milestone as well as ten million subscriber milestones in Bangladesh. Chronology: November 28, 1996: Grameenphone Ltd. received cellular license by the Ministry of Posts and Telecommunications of Bangladesh. March 26, 1997: Grameenphone launched its service on the Independence Day of Bangladesh. June 1998: Grameenphone started its services in Chittagong, the second largest city and the port city of Bangladesh. Cell to cell coverage between Dhaka-Chittagong was established. 1999: Grameenphone started its service in Khulna, the industrial city of Bangladesh. Also cell to cell coverage between Dhaka and Khulna brought a number of other districts under coverage. Chronology: 2000: Grameenphone started its services in Rajshahi, the education city of Bangladesh. Service also started in Sylhet and Barisal and thus all six divisional headquarters got the cellular network coverage for the first time Bangladesh. August 2003: Grameenphone's subscribes base has become more than one million. Grameenphone became the first operator in the country to reach the million subscribers. November 2005: Grameenphone registered more than 5 million subscribers. November 5, 2006: Grameenphone crosses the 10 million subscriber mark after almost ten years of operation. September 20, 2007: Grameenphone reaches 15 million subscribers mark. June 2008: Grameenphone reaches 20 million subscribers landmark Changing logo: On the November 16, 2006 GP formally changed its logo to match its parent company Telenor's logo. According to GP the new logo symbolizes trust, reliability, quality and constant progress. The name Grameenphone was kept as part of the new identity because the name Grameenphone carries with it all of the heritage, success and values of the company's past, added the then CEO of Grameenphone Erik Aas. Numbering scheme: Grameenphone uses the following numbering scheme for its subscribers: +880 17 nnnnnnnn 880 is the ISD code for Bangladesh and are needed only in case of dialing from outside Bangladesh (otherwise, it may be substituted by a 0, making the prefix 017). 17 is the prefix for Grameenphone as allocated by the government of Bangladesh. The eight-digit number nnnnnnnn is the subscriber number. Network: According to Grameenphone, it has so far invested more than BDT 10,700 crore (USD 1.6 billion) to build the network infrastructure since 1997. It has invested over BDT 3,100 crore (USD 450 million) during the first three quarters of 2007 while BDT 2,100 crore (USD 310 million) was invested in 2006 alone. Grameenphone has built the largest cellular network in the country with over 10,000 base stations in more than 5700 locations. Presently, nearly 98 percent of the country's population is within the coverage area of the Grameenphone network. The entire Grameenphone network is also EDGE/GPRS enabled, allowing access to moderate speed Internet and data services from anywhere within the coverage area. There are currently nearly 3 million EDGE/GPRS users in the Grameenphone network. Products offered: Mobile Telephony: Grameenphone was the first operator to introduce the pre-paid mobile phone service in Bangladesh in September 1999. It offers the pre-paid subscription. There are no sources in the current document under the name Easy Prepaid which is currently calld "smile prepaid". Besides smile, Grameenphone also offers a youth based mobile to mobile connectivity within Bangladesh named djuice'. Grameenphone also offers postpaid mobile service. xplore Postpaid is the name of its post paid service. Other Services: Internet: Grameenphone provides internet service in its coverage area. As it has EDGE/GPRS enabled network, any subscriber can access to internet through this network. Grameenphone was the first mobile operator in Bangladesh to offer EDGE services to its subscribers. Bill Pay: A service to enable users to pay their utility bills (Electricity, Gas etc) through mobile. Cell Bazaar : A service to enable users sells or buys products through mobile or internet. Various other services like Stock Information, Instant Messaging, SMS Based Alerts/Services, Voice-based Services, Downloads, Music, Cricket Updates, Web SMS, Mobile Backup etc. Other activities: Village phone: With the help of Grameenphone, Grameen Telecom operates the national Village Phone programme, alongside its own parent Grameen Bank and the International Finance Corporation (IFC), acting as the sole provider of telecommunications services to a number of rural areas. Most Village Phone participants are women living in remote areas. Village Phone works as an owner-operated GSM payphone whereby a borrower takes a BDT 12,000 (USD 200) loan from Grameen Bank to subscribe to GP (Grameenphone) and is then trained on how to operate it and how to charge others to use it at a profit. As in September 2006, there are more than 255,000 Village Phones in operation in 55,000 villages around Bangladesh. This program has been replicated also in some other countries including in Uganda and Rwanda in Africa. Grameenphone tower: A typical Grameenphone tower Community Information Centers: Community Information Center (CIC) or GPCIC is aimed at providing internet access and other communications services to rural areas. In February 2006, 26 CICs were established across the country as a pilot project. In this project, Grameenphone provides GSM/EDGE/GPRS infrastructure and technical support and other partners Grameen Telecom Corporation and Society for Economic and Basic Advancement (SEBA), are involved in selecting and training entrepreneurs to run the village centers. The computers in these centers in the pilot project are used by an average of 30 people a day, who pay a small fee to access email or Web pages. Grameenphone also trains the entrepreneurs so that they can give people advice on how to set up an e-mail account and best make use of the Internet. CIC project is giving up to 20 million people the chance to use the Internet and e-mail for the first time. Following a successful pilot project, Grameenphone is going to set up approximately 560 centers in communities throughout Bangladesh by the end of 2006. As a result, up to 15 villages containing up to 40,000 people will be within reach of each CIC. In this information center, there will be personal computers connected to Grameenphone's existing GSM mobile network, which has been upgraded with EDGE technology to offer data transfer speeds of up to 16 kilobytes per second. Grameenphone Centers: A gpc at Gulshan, Dhaka. A gpc at Tejgaon,Dhaka. Grameenphone Centers: A grameenphone center (GPC) serves as a "one stop solution" for customers, with all telecommunications products and services, under a single roof. A grameenphone center also sells phones from vendors like Nokia, Samsung, Motorola, Sagem and Benq. EDGE/GPRS modems and accessories such chargers and headphones are also sold at GPCs. As of September, 2007, there are 76 GPCs and they are strategically located at all major locations of the country is operated by Grameenphone. As of late most of the newly opened gpc's are franchised. Most of these franchised outlets are in non-metropolitan areas. The GPCs also provide the flexiload service without charging extra for small denominations unlike many retailers in the country. Thus making the gpc's and ideal place for many for such a service. Every once a while, the GPCs tie up with handset manufactures and start a nationwide marketing scheme by selling the specific vendors products at a price lower than the market's or in bundle with a grameenphone connection loaded with free minutes. Awards: 1. Grameenphone received the GSM in the Community Award at the global GSM Congress held in Cannes, France in February 2000 for its Village Phone initiative. 2. In 2002, Grameenphone was adjudged the Best Joint Venture Enterprise of the Year at the Bangladesh Business Awards. 3. Grameenphone was presented with the GSM Association's Global Mobile Award for ‘Best use of Mobile for Social and Economic Development' under Bridging the digital divide category at the 3GSM World Congress held in Singapore, in October 2006, for its Community Information Center (CIC) project. 4. In the next year, 2007, Grameenphone was again presented with the same award for its `HealthLine Service' at the 3GSM World Congress held in Barcelona, Spain, in February. Corporate Governance structure of Grameenphone: Corporate Governance is the structured process through which an organization is directed, controlled and held accountable. It clearly defines the rights and responsibility of the Board, Management, Shareholders and other Stakeholders like Government and the society at large. Grameenphone believes in the continued improvement of corporate governance. This in turn has led the Company to commit considerable resources and implement internationally accepted Corporate Standards in its day-to-day operations. The Board of Directors and the Management Team of Grameenphone are committed to maintaining effective Corporate Governance through a culture of accountability, transparency, well-understood policies and procedures. The Board of Directors and the Management Team also ensure maintaining of compliance with all laws of Bangladesh and internally developed policies, procedures and controls. Board of Directors: The Directors of the Board are appointed by the Shareholders in the Annual General Meeting (AGM) who are accountable to the Shareholders. The Board is responsible for guiding the Company towards the goal set by the Shareholders. The Board also ensures that Grameenphone Policies & Procedures and Codes of Conduct are implemented and maintained; and the Company adheres to generally accepted principles for the governance and effective control of Company activities. In addition to the other legal guidelines, the Grameenphone Board has also adopted “Governance Guidelines for the Board” for ensuring better governance in the work and the administration of the Board. The Board of Directors in Grameenphone is comprised of nine members including the Chairman who is elected from amongst the members. In compliance with the Corporate Governance Guidelines issued by the Securities and Exchange Commission (SEC) and as per the provision of the Articles of Association (AOA) of the Company, the Board of Directors in its 101st Board meeting held on March 19, 2010 appointed an Independent Director to the GP Board. Board Committees: Management Team (MT): The Management Team is the executive committee of Grameenphone managing the affairs of the Company. The Management Team consists of the CEO and other key leaders across the Company. The CEO is the leader of the team. Management Team endeavors to achieve the strategic goals & mission of the Company set by the Board of Directors. The Management Team meets on a weekly basis to monitor the business performance of the Company. Ownership Structure The shareholders of Grameenphone contribute their unique, indepth experience in both telecommunications and development. It is a joint venture enterprise between Telenor (55.8%), the largest telecommunications service provider in Norway with mobile phone operations in 12 other countries, and Grameen Telecom Corporation (34.2% ), a non-profit sister concern of the internationally acclaimed micro-credit pioneer Grameen Bank. The other 10% shares belong to general retail and institutional investors. Telenor is emerging as one of the fastest growing providers of mobile communications services worldwide with ownership interests in 12 mobile operators across Europe and Asia. Telenor is organised into three business areas; Mobile operations covering 12 countries, and Fixed-line and Broadcast services covering the Nordic region. Telenor holds 55.8 per cent of Grameenphone, with Grameen Telecom Corporation owning the remaining 34.2 per cent. The rest of the shares belong to general retail and institutional investors. Telenor has played a pioneering role in development of cellular communications in Bangladesh. The technological know-how and managerial expertise of Telenor has been instrumental in setting up such an international standard mobile phone operation in Bangladesh. Being one of the pioneers in developing the GSM service in Europe, Telenor has also helped to transfer this knowledge to the local employees over the years The international shareholder brings technological and business management expertise while the local shareholder provides a presence throughout Bangladesh and a deep understanding of its economy. Both are dedicated to Bangladesh and its struggle for economic progress and have a deep commitment to Grameenphone and its mission to provide affordable telephony to the entire population of Bangladesh. The Telenor Group: More than 150 million mobile subscribers worldwide Strong subscription growth, particularly in our Asian operations Listed as No.1 on Dow Jones Sustainability Index 2008 Ranked as the world's seventh largest mobile operator Revenues 2007: NOK 105 billion Workforce 2007: 35 800 man-years Listed on the Oslo Stock Exchange, with headquarters in Norway Corporate Governance: In the fast-paced world of telecommunications, vibrant and dynamic Corporate Governance practices are an essential ingredient to success. Grameenphone believes in the continued improvement of corporate governance. This in turn has led the Company to commit considerable resources and implement internationally accepted Corporate Standards in its day-to-day operations. Being a public limited company, the Board of Directors of Grameenphone have a pivotal role to play in meeting all stakeholders’ interests. The Board of Directors and the Management Team of Grameenphone are committed to maintaining effective Corporate Governance through a culture of accountability, transparency, well-understood policies and procedures. The Board of Directors and the Management Team also persevere to maintain compliance of all laws of Bangladesh and all internally documented regulations, policies and procedures. Grameenphone is a truly transparent company that operates at the highest levels of integrity and accountability on a global standard. Brand: A connection exists between every person regardless of the distance that separates. And each person is designed to seek out those connections, to stay in touch. Grameenphone serves as that correlating string that connects thousands of people across the country, across the world. It makes the daunting physicality of distance and time trivial. And thus it bring people together, holding their dreams and hopes, joys and sorrows, helping them stay close. This power to connect all, eliminating all differences, is the power of Grameenphone - the power to create magic for every common man, the magic of love, the magic of closeness. Mission: Leading the industry and exceed customer expectations by providing the best wireless services, making life and business easier Vision: We exist to help our customers get the full benefit of communications services in their daily lives. We want to make it easy for customers to get what they want, when they want it. We're here to help Values: Make It Easy Keep Promises Be Inspiring Be Respectful Promise: Stay Close Sponsorship: Grameenphone engages in sponsorship to deliver its brand promise and to create mutual benefits for its partners. Grameenphone has been relentlessly supporting different organizations through sponsorships to preserve and glorify our national heritage and patronize the potential developing sectors of Bangladesh. The basic drive of our sponsorship decision comes from patriotism and the understanding of societal development in different potential sectors. We believe that there is still a large scope to work together and stay close. Sponsorship focus areas Sports Art-Culture Social Welfare National Days ICT Development Partner Sponsorship Activities: Partner of Bangladesh Cricket Board the National team Grameenphone- the proud partner of Sports, Art-culture, social welfare national days Cricket Academy Football Golf Tennis Weight Lifting National Art Exhibition Zainul-Quamrul International Children's Painting Competition Rabindro Utshob National Poet's Birth Anniversary Tree Plantation Movement Police Week Acid Survivors Welfare Anti Drug Movement Major events in Independence Day Victory Day International Mother Language Day Bengali New Year Recharge based Jersey, Cap offer Praying for Bangladesh Cricket team For the first time in the country's history, we are hosting World Cup Cricket matches in our home ground. Not only that, we are also being honoured with the responsibility of organizing the inauguration ceremony in our country. On the eve of the proud moments to come, Grameenphone has decided to color the country in Red and Green – with its new Recharge based Jersey and Cap offer. Conclution: Grameen Phone has a similar practice, where they offer company shares to its employees. This is also equally effective. Grameen Phone follows a similar type of selection. A difference though is that they put their applicants through intensive 2 day long assessment program where the applicants are monitoring with regard to various perspectives. Grameen Phone has a rather brief orientation, covering plant visitation, introduction to co-workers and company benefits and code of conduct. In contrast at GP, training is conducted in two steps. First a classroom training, then direct hands-on attachment. We believe that just video training is not the most effective form of training and that some form of attachment would be required, especially in the technical field. Nothing is better than learning a job while performing it at the same time. Compensation Managers must develop a compensation system that reflects the changing nature of work and the work place in order to keep people motivated. These can include many different types of rewards and benefits such as base wages and salaries, add-ons, bonus and many other forms.