1 Chapter: Introductory Part

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1.1 Introduction
“To provide a stable and gainful source of employment for the under privileged rural
artisans, lift up the traditional identity and the commitment of quality service”

On the basis of these principal Aarong started its journey in Bangladesh. Aarong is an
organization that is dedicated to change the lives of disadvantages, promoting
traditional products from Bangladesh and opening the doors so their products can be
exported. Throughout Bangladesh and in international destinations, the name of
Aarong is the synonym of quality originality and uniqueness. The designer and the
creators of the product range offered by Aarong, have not only established the
organization as leaders in deshi handicraft, but have also reignited interest and
popularity for styles and traditional crafts that are native to the country. It is the
gracious blend of contemporary and customary that ensures that each product is
original and saleable in modern society. Aarong therefore has thousands of artisans
producing pottery work, jewelry, woven baskets, silk, leather items, brass pieces and
magnificent wood cravings. Today, few urban consumers will argue that Aarong is
the local Mecca for deshi handicraft. Aarong’s product designs has brought consumer
attention back to the products and styles that are indigenous to Bangladesh, its
designers blending the traditional with the contemporary in a manner that has won
instant consumer appeal, starting a revolution in trends that has now been taken up by
countless other boutiques and stores. Aarong’s product designs focus on the diverse
types and textures of crafts and patterns that have been passed along from generation
to generation among weavers and artisans in craft hubs around the country.

The name of the organization Aarong is a Bangla word. It means “a village fair or
market”. The village fair provides craftsmen of all trades a marketplace to display and
sell their traditional handicrafts. The naming of Aarong as such upholds the
organizations commitment to promote the indigenous goods of our country, which are
a part of our rich cultural and artistic heritage.

It is the handicraft marketing arm of BRAC from 2010-(Building Resources Across

communities), the largest NGO in Bangladesh & in the world. Aarong has created a
village fair for the craftsmen of all trades come together to exhibit and sale their
traditional handicrafts.it helps vitalize the traditional craftsmanship and find a wider

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market for their products nationally and internationally. Established in 1978,
Aarong is a fair trade organization dedicated to bring about positive changes in the
lives of disadvantaged artisans and underprivileged rural women by reviving and
promoting their skills and craft. Reaching out to weavers, potters, brass workers,
jewelers, jute workers, basket weavers, wood carvers, leather workers and more,
Aarong embraces and nurtures a diverse representation of 65,000 artisans, 55%
(Included -AAF) of whom are women. Today, Aarong has become the foundation
upon which independent cooperative groups and family-based artisans market their
craft, in an effort to position the nation’s handicraft industry on a world platform of
appreciation and acknowledgement. Over the years, Aarong has earned a name as one
of the finest rural craft producers and marketer in home and abroad.

1.2 Origin of the report

Internship in private business organizations, government offices, public sector
corporations or banks or other non-bank financial institutions is an integral part of the
MBA program of the Business Administration department of IUBAT. The objective
of the program is to expose the students in the organizational work situation. Each
student is required to undergo the program and prepare a report according to a format
specified by the advisor.
As a regular student of Master of Business Administration (MBA) program, it
requires an internship attachment with an organization followed by writing and
submission of a report. This report is an end result of an Internship attachment with
one of the top graded fair trade organization in Bangladesh. As per the advice and
recommendations of respected supervisor Md. Lutfar Rahman, Professor the main
concentration of this report is HR policies and Practices of Aaong Bangladesh. This
report focuses area on their HR policies and Practices & Training and Development
program. This report will obviously increase the existing idea and assist Aarong to do
better in future.

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1.3 Objective of the Study
The objective of the internship program is to get acquainted with the real life
organization and to understand and observe the applications of the theoretical learning
to fulfill the requirement of MBA program.
In this regard, this study is conducted to observe the business and organization of
Aarong, and how various departments are interrelated to each other and help the
organization for smooth running. So to complete our assigned job we have some
objectives to be fulfilled.

1.3.1 Broad objective:

a) To understand HR policies and practices of the Aarong
b) “A Research on Training & Development Program”.

1.3.2 Specific objective:

 To know about the Recruitment & Selection system, Training & Development
Programs, Compensation system and Performance Appraisal System of
Aarong.
 To get some idea about the organizational structure, management process &
coordination system.
 To find out Employee satisfaction rate.

1.4 Scope of the report

This study will focus on HR policies and practices of the Aarong, and Research part
is Research on Training & Development Program with hypothesis development.

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1.5 Limitation of the report
Some of the limitations of the report are:
1. Non-availability of the most recent statistical data.
2. As I am student it is not possible for us to collect all the necessary
information.
3. The HR manager is very busy with their jobs which lead a little time to consult
with me.
4. Aarong didn’t want to provide all kind of data.
5. Accuracy of the secondary data depends upon the accuracy of the secondary
source as cross checking was not possible.
6. Due to confidentiality the policy of the Aarong restricts disclosing some
important data.
7. Deficiencies in Data required for the study.

Scheduling with university deadline and office assigned job completion deadline
mismatched for conducting the study.

1.6 Methodology of the study

Methodology is the process, technique, or method of observation, survey and analysis.
In order to collect the abovementioned information and data following potential
sources has been used. In order to meet the data requirement and collect the above
mentioned information following sources has been used.
The study requires a systematic procedure from selection of the topic to preparation of
the final report. To perform the study, the data sources were to be identified and
collected; to be classified, analyzed, interpreted and presented in a systematic manner
and key points were to be found out. The overall process of methodology has been
given as below.

1.6.1 Selection of the Topic:

The topic of the study was suggested by the respected supervisor. While taking the
topic necessary recommendations and suggestions were provided by the supervisor to
make this internship report a well-organized and perfect one.

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1.6.2 Methodology:
 For the current study, descriptive researches have been conducted. Because the
primary objective of the study is to present HR policies and Practices of
Aarong.

1.7 Data Collection Method:

 Data have collected from both Primary & Secondary sources.

1.7.1 Primary Source:

 Personal interviewing with HR manager and Employee.
 Employee with questionnaire Survey.

1.7.2 Secondary Source:

 Research report
 Articles,
 Website etc.

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 2 Chapter: Organizational Part

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2.1 Overview of Aarong
2.1.1 Brief History of Aarong
BRAC the largest NGO of world was established in 1972. Then in 1976, BRAC the
largest NGO of the world dedicated to lessen poverty and empowering the
underprivileged people has started a small initiative to promote sericulture among the
women of Manikganj. Later, Aarong was born in 1978 need of helping the
disadvantaged, poor silk farmers of Manikganj. Their visionary goal to change the
lives of deprived artisans and underprivileged rural women by enlivening and
encouraging their arts and crafts. At the very beginning their target buyers were a few
merchants of Dhaka. Soon enough, Aarong started to grow and spread throughout the
whole country, from one single shop to the biggest retail chains of Bangladesh. Now,
Aarong has a big family of 65,000 artisans with versatile artists including weavers,
potters, brass workers, jewelers, jute workers, basket weavers, wood carvers, leather
workers and more. Among these artisans, 85% of them are rural women which show
positive indications towards empowering women. Today, it can be easily said that
Aarong has become the biggest platform for the little independent groups and family-
based initiative for selling their crafts in the national and international market. Aarong
is stands as the interfacing bridge through which rural artisans and women can sell
their home-made products and bring food to their table.

• Spot payment on product delivery to encourage efficiency and productivity

• Reach out to producers in remote areas to ensure fair value for their efforts

• Marketing communication and information for artisans

• Advances against purchase orders where necessary

• Training & Education in skills development to raise product quality and

marketability

• Product Design and Support in Product Development

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2.1.2 Profile of the Aarong

Name of the Aarong

Organization

Years of Establishment 1978

Head Office 346, Tejgaon Industrial Area, Dhaka-1208,

Bangladesh

Product and Services  Men’s Product,

 Women’s Product,
 Children products,
 Leather Product

Number of Branches 15

Total Producer 500+

Customer All age group customer

slogan “Ake Britta BanglarMouk”

Working Manpower 65000+

Table 1: Profile of Aarong

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 2.1.3 Product and Services of Aarong

MEN'S WOMEN'S CHILDREN'S HOMETEXTILE HOME

PRODUCTS PRODUCTS PRODUCTS PRODUCTS ACCESSORIES

Traditional Traditional Clothes Bed Kitchen

Executive Shirts Western Toys Table Lamps

Maanja Sandals Books Living Photo Frames

Fotua Stoles/Shawls Shoes Kitchen Bowls
Short Kurta Sarees Kids Platters
T-shirts Nightwear Rugs Bookends
Stoles/Shawls Fabrics Fabrics Decorative
Sandals Bags Candles

JEWELRY TERRACOTT BAMBOO/ CERAMICS NAKSHI WOOD GLASS

PRODUCTS A PRODUCTS LEAF PRODUCTS KANTHA PRODUCTS PRODUCTS
PRODUCTS PRODUCTS

Gold Decorative Living Plates and Bags, Optical Candle Bowls

Saucers Cases Stands
Silver Plant Dining Teapots Table Vases Glasses and
Accessories Cloth/Napkin Cups
Pearl Glasses/Mugs Personal Mugs and Mats Wall Pitchers
Accessories Cups Hangings
Pitchers Wall Shelves and
hangings Racks
Hot Plates Christmas Mirrors
decorations

Table 2 & 3: Product and Services of Aarong

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2.2 Aarong

Aarong is one of the biggest Fair trade organizations of the country. Today, few
urban consumers will argue that Aarong is the local Mecca fordeshi handicraft.
Aarong’s product designs has brought consumer attention back to the products and
styles that are indigenous to Bangladesh, its designers blending the traditional with
the contemporary in a manner that has won instant consumer appeal, starting a
revolution in trends that has now been taken up by countless other boutiques and
stores. Aarong’s product designs focus on the diverse types and textures of crafts and
patterns that have been passed along from generation to generation among weavers
and artisans in craft hubs around the country.

Aarong also plays the role of protector and promoter of traditional Bangladeshi
products and designs. It houses an extensive design library where remnants of our rich
craft heritage, such as Nakshikantha art and Jamdani patterns, have been widely
researched and archived for present as well as future use.

2.2.1 Major functions of Aarong

The functions of Aarong are as under:

 To maintain all types of customer.

 To make investment.
 To extend other services.
 To Conduct Social welfare activities through AAF foundation.

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2.2.2 International Award of Aarong
Aarong has been granted the prestigious 2012 UNESCO Award of Excellence
for Handicrafts in South-East Asia and Asia for Jamdani Stole.

The UNESCO panel of expert praised NakshiKantha table runner, “Fine

execution of the traditional NakshiKantha embroidery on the piece with
contemporary selection of colors and design, bringing traditional folk art into
modern households”

Aarong has been granted the prestigious 2012 UNESCO Award of Excellence
for Handicrafts in South-East Asia Asia for bridal jewelry box.

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2.2.3 Address

AarongBhaban:
Aarong
Head Office

346, Tejgaon Industrial Area,

Dhaka-1208, Bangladesh

E-mail:[email protected]

Table 4: Address
2.2.4 Mission
“Be the best socially responsible enterprise empowering people to realize their
potential by creating appeal for a Bangladeshi life style experience.”

2.2.5 Vision
Aarong has a vision to establish them as world’s one of the famous fair trade fashion
house, and to remain market leader throughout its business. Aarong expanded its
business in international arena. Aarong has a dream to develop more artisans of
Bangladesh and make them self-dependent and attract more and more international
customers towards Bangladeshi culture.

2.2.6 Logo
The logo of Aarong is an image of peacock.it is spectacularly beautiful
Because of the brilliant, iridescent, diversified colorful pattern in its tail. The
color of the peacock in the logo is orange because it represents energy. By this
logo Aarong communicates that its products are as stunning and as unique as a
peacock. Moreover it wants to emphasize its natural, eco-friendly products through
the emblem.

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2.2.7 Naming:
The name of the organization “Aarong” is a Bengali word. It means Village Fair. The
village fair provides craftsman of all trades a marketplace to display and sell their
traditional handicrafts. The naming of Aarong as such upholds the organizations
commitment to promote the indigenous goods of our country, which are a part of our
rich culture and artistic heritage.

“AARONG” means:

A: Active: we will execute our plans in an active manner.

A: Appealing: we will make ourselves and our workplace appealing.
R: Reliable: we will carry out our duties in a reliable manner.
O: Outstanding: w will perform in an outstanding manner
N: Novel: we will always look for novel creative ways of improving everything we
do.
G: Genuine: we will be genuine in our thoughts and actions.

2.2.8 Objective
The objectives are as follows

 Defining the concept of corporate chain retailing and what Aarong would
provide to customers.
 Find out the target market strategy of Aarong.
 Find out the basis that Aarong build to get sustainable competitive
advantage.
 Identifying the key brand positioning factors of Aarong and their impact
on the brand.
 To understand the supply chain management of Aarong.
 To measure the financial performance of Aarong.

2.3 Business Prospect

 Business expansion in capital market.
 Gradual expansion of branch network.
 Progressive automation of the branches.
 Consideration of prime customers.

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2.4 Corporate Governance

Name & present Corporate Governance of Aarong is defined as the framework by

which the organization is directed and controlled by the relationships between the
management, the board of directors, Shareholders and other stake holders, Such as
employees, customers. The aim of corporate governance framework is to ensure
disclosure and transference, to define the responsibilities of the board and
management to define the right and rule of shareholders and stakeholders to ensure
equitable treatment and to avoid conflict of interest.

Chairman Advisor Board of Director

Managing Director

Director

General Manager

Deputy General Manager

Assistant General Manager

Senior Manager

Manager

Executive Officer

Assistance Executive Officer Figure 1: Corporate Governance

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2.5 Form of Organization
 Board of Directors.
 Organ Gram
 Executive Committee.
 Audit Committee.

2.5.1 Board of Directors:-

Name &Designation:

Name Designation

Sir Fazle Hasan Abed Chairman

Tamara Hasan Abed Senior Director

Manik Kumar Sarkar General Manager

Mohammad Abdur Rouf General Manager

Rajesh Khajuria General Manager

Table 5: Board of Directors

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2.5.2 Organ Gram

Fig 2:- Organ Gram of Aarong

2.5.3 Executive Committee

The executive committee of the board is constituted as per provision of the Aarong
companies’ act. It exercise all the powers vested by the boards in respect of financial
sanctions, compromises, remissions, write off proposal, filling of suit/appeals etc.

2.5.4 Audit Committee

The Audit committee consists of 7 members, including CEO & managing Directors.
Consequent upon the corporatization, the board now exercises greater Autonomy to
run the Organization more actively and effectively than ever before.

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2.6 Corporate Culture
 Bus Service:

Aarong giving bus services to their employees. In the morning time employees
are coming to the office bus service and back to office bus after closing
Aarong. This transport service is available in the Head office and all outlets.

 Employee Training:

Aarong is giving different kinds of training to their employees. Aarong

follows different kind of new services for their organization. On that time
Office arrange training session for the employees. For that reason employees
can’t facing any kind of problem on their work.

 Food facilities:

Aarong is providing food services for their employees. Ramadan Month

Employees get iftar and tea from their office. It’s a very good part of the
organization because employees are coming office every day.

 Cultural attribute:

Aarong is organizing different kind of cultural program. They are providing

some bonus for their employees. Aarong is organizing yearly picnic session
for their employees and different kind of cultural program in the memorable
day in Bangladesh.

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2.7 Corporate Resources
2.7.1 Marketing & Sales Department
The whole business of Aarong is totally depends on his sales department. But Aarong
have a marketing department in their head office those people are maintaining whole
marketing department of Aarong. Sponsorship, organizing programs, different
facilities to the customers and many different kind of marketing work they are doing
to promote their organization. And sales department is the one of the major sector of
the Aarong. Sales department are work under the marketing department. So to gather
new customer for the organization, marketing department and sales department is very
helpful for the Aarong.

2.7.2 Operation Department

Operating department is the major department of the Aarong. Operating department is
totally operated the POS system and keeping the all documents to the computers.
Aarong is starting their online shopping system very soon. So operating department is
operating all the data of their booth and operates all kind of network system of the
Aarong.

2.7.3 Account Department

For a fair trade organization accounts department is main department. Without an
account department Aarong can’t be doing anything with their organization. In
Aarong their accounts department is very strong. Aarong have lot of employees on
their accounts department. They are only handling the accounts of the Aarong.
Accounts department are keeping all kind of information related money. So accounts
department is the most important part of the Aarong.

2.7.4 Human Recourse Department

The human resources department is located in the corporate offices HRD. All kind of
recruiting process is maintained by the HRD. The HRD of Aarong is very skilled and
sharp. They are appointed the employee in very legal way and select the right person
to the right place. The HRD of Aarong know how to utilize the employees & produce
best out put through motivational tools, training, teaching, orientation, etc.

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2.7.5 IT Department
It department of the Aarong is very strong. They are maintaining all kind IT related
work of the organization. They are doing lot of work like:

 Cash transfer.

 POS

 Keeping All Kind Of Customer Information

 MARC holder information

 Accounts Information

 CC TV Camera

 Metal Detector for security

 Internal Data transfer system

 Own domain for email

 Organized website

IT department is very strong of the Aarong. Because of Aarong all kind of

information is very important. And each and every computer is full of that
information. So IT department are keep frees those computer and easy to keep all the
information.

2.7.6 Research and Development Department

Research and development department is very important for any kind of organization.
Aarong have a research department those people are very strong skilled. If Aarong
facing any kind of problem then this department are find out that problem and give
the solution of those problems. They are working hard to give a good and strong
solution for the Aarong.
2.7.7 Cash department
Cash department of the Aarong is very strong to hard work. Cash department is the
focusing part for a Fair trade organization. They are doing all kind of cash transaction
with the customer. And cash sight is very important because if cash employees are
making any kind of Fault then organization have to survive those problems.

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 3 Chapter: Actual Task

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3.1 Actual Task part

I joined Aarong on 01st September, 2015 and I completed my three month internship
there. In the period of my three months internship program, I worked under the
supervision of Assistant Manager (HR) in Aarong.

3.1.1 Task Area

I worked in the HR department of Aarong and analysis their HR policy and
practices and A Research on Training & Development Program.

Fig 3: Task area

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3.2 Description of the job:
As I had the opportunity to have three months long internship at Aarong, I have come
across with different tasks that are conducted by the HR department. I was assigned to
the following jobs regularly. Those were-

� Collecting Bio data

� Screening Bio data

� Setting Interview & training date

� Calling For Interview & Training

� Making Interview and Training Lists

� Maintaining Attendances

� Managing Leave

� Creating Employee Profile

� Performance Appraisals

� Salary Adjustments

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3.2.1 Collecting Bio data:
For the recruitment of Sales Associates and Store Helper the CVs are collected from
outlets mostly but applicants can also drop their CVs in the CV box at head office.
And for others positions the CVs are collected through the bdjobs’s website and the
CV box at the head office.

3.2.2 Screening Bio data:

As Aarong was taking huge number of Sales Associates for Ramadan and for the new
outlets, i received CVs in large quantity. There were few areas are to be considered
while screening the CVs, these were age, education and location. For example a
candidate has to be 18 years old or above to apply for job. For Sales Associates and
Labeling position the candidate has to be a graduate student and candidate for the
Sales Associates position also has be to smart. For Store Helper and Quality Control
Helper candidate must have S.S.C degree. And Quality Controller for the production
house must have at least H.S.C Degree.

The candidate applied for Sales Associate position, which were least impressive but
matched the educational qualification are kept aside or used for the labeling staff.

3.2.3 Setting Interview & training date:

After Screening the CVs and classified them in to different categories, I were to fix
the interview date for different outlets and inform the respective outlet manager about
the interview date and time. And with the interview I was to fix the training date for
the selected candidates. To do this I had to consult with the Training personnel about
the training batches and find out the empty slots for Training and finalize the
interview and training batch for the Sales Associates for different outlets.

3.2.4 Calling for Interview and Training:

After screening the CVs and separate them based on their location, it was my job to
call the candidates for interview and inform them about the interview date, time and
venue. The interviews were held in the head office of Aarong. After the interview I
had to call the selected candidates for one day long pre service training session and
inform them about training date, time and venue. The Training sessions were held in
Niketon-Gulshan for the Ramadan Sales Associates and for the regular Sales

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Associates training Sessions held in both Niketon-Gulshan and Speed Training
Centre at Mohakhali.

3.2.5 Making Interview and Training Lists:

While calling the candidates I had to give serial number to their CVs. after calling the
candidates it was my job to prepare an interview list which contained name of the
applicant, father’s name of the applicant, educational qualification, address and
contact number, there were few columns left empty for applicants signature, selected,
not selected and remarks. At the bottom of the list name of the Human resource
officer and the outlet manager who were taking the interview, were included.

For Training list the information were different from the interview lists. Name of the
applicants, name of educational institute, and name of outlet, shift, and address
contact number were included.

3.2.6 Maintaining Attendances:

Aarong uses separate attendance register method for the head office and the outlets.
For employees are working in head office they are to use their finger in the punch
machine when they arrive, the machine records time for each employee arrival and
leave .The HR departments uses one software to pull data from the machine on daily
basis, the software keeps records of the employees of different department for a year.

And for the outlets and temporary workers the still use the manual attendance
register.it was my responsibility to write the names, PIN and designation of the
employees into the attendance register for the upcoming month.

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Aarong maintain their employee attendance very strictly, the employees can punch
till 8.45 am and it would not be counted as late but from 8.46 am to 9.30 am it would
be counted as late and after 9.30am it is counted as half day.

3.2.7 Managing Leave:

During my internship at Aarong it was my job to maintain the leave of the employees
at the outlets and few other departments. The leave is usually updated at the last day
of the month. Before updating the leaves of different employee I had to collect their
leave forms, and for the outlets I had to collect the attendance register as well. Before
giving the entry of the leave forms, I had to take a print out of the attendance of
departments, so that I can check it with the leave

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3.2.8 Creating Employee Profile:
The HR department of Aarong keeps record of their employees both manually and in
HRMS. After recruiting sales associates for the outlets I learned to prepare files for
new employees. Every new employee is assigned a PIN for their identification. The
employee file contains employees joining letter given by Aarong, employees CV,
photocopy of employee’s educational certificates, reference letter, and insurance
form.

Later employee’s confirmation letter, promotion letter, transfer letter, increment of

salary letter and performance appraisal is added.

After preparing file for the new employee I used to enter the information in HRMS.
First I had to add the PIN and then I had to add employee’s information in their
profile. There were different categories like personal details, educational qualification,
job base and status, joining date, insurance nominees and references etc.

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3.2.9 Performance Appraisals:
Aarong practices Appraisal of the employees once in a year. During my internship I
was taught how to carry out the performance appraisal of the employees at the outlets.
First i had to provide performance appraisal form of the employees to the department
or outlet managers. After they evaluate their subordinates i had to collect them. There
was a particular scale which was raked like Excellent, Very good, Good, Satisfactory
and Unsatisfactory. Each question of the performance appraisal carries 5 marks there
were fifteen to twenty questions. The employees who would get highest would be
marked as excellent.

Promotion and increment was allocated based on the performance of the employees. i
had to count the numbers that employees obtained and send it to the head of Retail for
approval when he/she approves it i had to send it to general manager of HR &
Training. And lastly the appraisal was sent to the director. Based on the approval and
remarks employees are promoted and increments are given.

3.2.10 Salary Adjustments:

My internship at Aarong took place in September to November, during these periods
of time I came across the most important tasks carried out by the HR and Training
department. Salary adjustment was one of them. I was taught how to calculate the
adjusted salary based on the existing salary, and then recheck the salary. When the
new salary is approved I along with HR personnel photocopied the approved salary
send one photocopy to the Account & Finance department and put the other
photocopy in employee file.

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3.3 OVERVIEW OF HUMAN RESURCE DEPARTMENT
3.3.1 Introduction
Human Resource Management is the function within an organization that focuses on
recruitment, management, and the direction of the people in the organization. Every
business unit needs human resource (manpower) for conducting different business
activities. In fact, no organization can exist or operate efficiently without the support
of human resource. Such human resource includes top level managers, executives,
supervisors and other subordinate / lower level staff / employees. In an industrial unit,
large number of persons is employed in order to conduct various operations and
activities. This is treated as human resource or manpower employed. In brief, Human
Resource (HR) constitutes the most important and the most productive resource of an
industrial / business unit. It is rightly said that "machines are important in the
production process but the man behind the machines is more important". He/ she
transform the lifeless factors of production into useful products. Human resource
(HR) is an important asset of a business unit. Well-trained, loyal and efficient team of
workers brings success and stability to a business unit.

3.3.2 Importance & Objectives of Human Resource Department.

The main purpose of human resource department is to accomplish the organizational
goals. Therefore, the resources are mobilized to achieve such goals. Some importance
and objectives of human resource department are as follows:

3.3.2.1 Effective Utilization of Resources

Human resource Department of JBL ensures the effective utilization of resources and
teaches their employees how to utilize human and non-human resources so that the
goals can be achieved.

3.3.2.2 Organizational Structure

Organizational structure defines the working relationship between employees and

management. It defines and assigns the task for each employee working in the
organization. The task is to be performed within the given constraints. It also defines
positions, rights and duties, accountability and responsibility, and other working

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relationships. The human resource department of Aarong provides required
information too timely and accurately to help to maintain organizational structure.
3.3.2.3 Development of Human Resources

Human resource department of Aarong provides favorable environment for

employees so that people working in organization can work creatively. This
ultimately helps them to develop their creative knowledge, ability and skill. To
develop personality of employees, human resource department of Aarong organizes
training and development campaigns which provide an opportunity for employees to
enhance their caliber to work.
3.3.2.4 Respect for Human Beings

Another important work of human resource department of Aaorng is to provide a

respectful environment for each employee and focus on developing good working
relationships among workers and managers in organization.
3.3.2.5 Employee Satisfaction

Human resource department of Aarong provides a series of facilities and opportunities

to employees for their career development. This leads to job satisfaction and
commitment. When the employees are provided with every kind of facilities and
opportunities, they will be satisfied with their work performance.
3.3.2.6 Employee Discipline and Morality

Human resource department of Aarong tries to promote employee discipline and

moral through performance based incentives. It creates a healthy and friendly working
environment through appropriate work design and assignment of jobs.
3.3.2.7 Organizational Productivity

Human resource department of Aarong always try to focus on achieving higher

production and most effective utilization of available resources. This leads to an
enhancement in organizational goals and objectives.

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3.4 HR Policies & Practices of Aarong:

Aarong is the one of the biggest fashion house in Bangladesh with 15 outlets around
the country. Behind the fashion house/lifestyle store Aarong has a corporate office.
Aarong has been employing a huge number of employees from all over the country
and in some cases overseas employees. Here is the organogram of Aarong to have a
look on the positions of the employees who are involved in different Human Resource
activities:
Deputy General Manager

HR &Training Department

HR Training

Ass: Manager Ass: Manager

Aarong Aarong

Executive Executive

Senior HR Senior HR
Officer Officer

HR Officer
HR Officer

Data Entry
Operator

HR Assistant Figure 4:
Organogram

Office of HR
Assistant Training
Department of
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The HR Practices of Aarong are as follows:

1. Recruitment and selection Process

2. Confirmation

3. Promotion

4. Transfer

5. Dismissal

6. Termination

7. Leave Management

8. Salary Management

9. Increment

10. Performance appraisal

11. Resignation

12. Retirement

During my internship it was not possible to go through all the HR practices of

Aarong in depth. There are several fields that I had opportunity to work in depth.
Practices like recruitment, leave management, salary management and
performance appraisal etc.

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3.4.1 Recruitment and selection Process:
Selecting and recruiting good employees for an organization is indeed one of the most
crucial and critical aspects of running an organization as the decisions so taken to this
respect can take the organization to the heights of success. In this respect, it must be
borne in mind that each individual has a valuable contribution, irrespective of the
position or status of the employee in respective organization.

Staffing is the process of recruiting applicants and selecting prospective employees it

is known as the key strategic are of Human Resource Management. Stated that an
organization’s performance is a direct result of the individuals it employs. The
specific strategies used and decisions made in staffing process will directly impact an
organization’s success or lack thereof.

3.4.1.1 Planning for recruitment and selection:

The aim of the policy and procedures is to support the recruitment and selection of
people with necessary ability, skills, qualification and competencies to contribute
effectively to delivery of Aarong.

3.4.1.2 Recruitment and Selection Strategy:

As Aarong has huge number of employees all around the country, they recruit
different types of employees based on the nature of the jobs. Aarong recruits five
types of employees, these are

� Regular

� Part time

� Temporary

� Contractual

� Project based

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 Regular employee:

Regular employees work five days a week from Sunday to Thursday, starting from
8.30 am to 5.15 pm. These employees will receive the entire compensation program
(bonus, increment, overtime and insurance) and every other facility that are given by
the organization.

Part-time employees:

Part- time employees are those who does not work on the regular working hours, they
are given the facility of flexible work hours. Part time employees are recruited for the
outlets for example – sales associates, store helper, guards etc. They are not given the
facilities of the regular employees. However they will be given some facilities based
on the contracts they have with the organization.

Temporary employee:

Aarong recruits temporary employees for different purposes. Some times when a
position is vacant and the recruitment might take long to fill in that’s when Aarong &
AAF goes for recruiting temporary employees. Temporary employees may work full
time or part-time. The temporary sales associates for Ramadan work as part timer. On
the other hand temporary employees for documentation work as long as full timer in
Aarong.

Contractual employee:

Contractual employees are hired to work on certain projects or for a certain period of
time. The sales associates for the Ramadan are under contract of one month whereas
the interns have three months of contracts in Aarong. However depending on the
nature of the job the organization may extend their contract with employees.

Project based employee:

Project based employees are hired for specific projects. The organization make
contract with them to work on a certain project. To open new outlets in Mirpur and
Uttara Aarong hired interior designers to design new outlets is under project based
employment.

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 3.4.1.3 Recruitment method:

Aarong recruits its employee’s mostly on viva voce and they do not take any written
examination of the candidates. But the interviews are conducted by several steps,
which are, in first round if someone qualifies the interview then they are selected for
the second round of the interview. These types of interviews are arranged for officer,
executive and managerial level. But for the technical posts like IT department
computer literacy is tested. But recently Aarong has stated taking written examination
on computer for finance and accounts department and also for other departments as
well. Only In case of design studio the applicants has to present their portfolio.

To recruit the employees for different departments Aarong goes through several steps,
these are performed by the HR department:

Check & Verify Organizationa Approval

Staff Requisition
l Chart

Short listing the potential applicants Collecting & Screening Job Advertisement

Schedule & arrange the interview Conduct Interview Compile Interview Results

Issue Appointment letter Candidates’ Verification

Inform Selected Candidates

Joining & Orientation

Figure 5: Recruitment Process in Aarong.

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3.4.1.3.1 Requisition for Staff:
In the beginning of the year all the departments’ head send their requisition in a fixed
form to the HR department estimating the requirement of new staff for the whole year
in their respective department, then HR collects the approval of the director. HRD
would make yearly plan to recruit staff on the basis of the received approved
requisition. According to the organizational chart, it is previously determined how
many people are required to run a particular department or to do a specific kind of
job. So with the resignation of an employee respective department needs to get
approval for a new position, it forwards the form to HRD along with the detail
particulars like educational level, experience, interpersonal skills and other skills that
the job required of the deserving candidate.

3.4.1.3.2 Check and Verify organizational Chart:

Once the HR department receives an approved job requisition, it is the foremost duty
of the HR departments to check and verify the approval with the organizational chart.
Next, the manager of HR prepares the job watch, which is to circulate for job
announcement. This job watch contains job responsibility, objectives, number of
vacancies of the department, educational background of the candidate, working
experience and other interpersonal skills. The job watch basically asks the potential
candidate to send their CV if they qualify the minimum qualification level.

3.4.1.3.3 Sources of Recruitment:

There are two kinds of sources Aarong uses for recruitment. They are

� Internal source

� External source

Internal source:

Aarong think that current employees are a major source of recruits for all but entry
level positions. Promotions and transfer are typically decided by responsible
department with involvement by HR department.

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 Employee references/ recommendation:

Employee reference has universal application. Lower level and mid-level positions
can, and often are filled by the recommendation of a current employee. In higher level
positions it is more likely referral will be a professional acquaintance rather than a
friend with whom the recommender has close social contacts. In jobs where
specialized expertise is important, and where employees participate in professional
organizations that foster the development of the expertise, it can be expected that
current employees will be acquainted with or know about individuals they think
would make excellent contribution to the organization.

External sources:

Aarong believe in innovative inspiration so HR department use to look outside of the

organization for applicants. The external source starts with the job advertisement on
different media.

3.4.1.3.4 Job Advertisement:

Aarong gives their advertisement mostly on the major newspapers and internet to
collect applicants for all the departments and posts. Through the advertisement they
declare the posts of the jobs and the job description which includes duties and
responsibilities along they also mention the facilities Aarong provides. In the
advertisement they mention the required qualification of the applicants, age and
experience etc.

Aarong considers effectiveness before giving the advertisement. They advertise

themselves in a manner which serves them the most. For example, for the posts from
officers to managers they give advertisement on the major newspapers and also
internet and temporary/ part time post like sales associates are advertised on the
outlets.

3.4.1.3.5 Collecting & Screening:

After the advertisement for a particular job the HR department starts collecting the bio
data. The bio data are collected from sources, for example the bio data dropped in the
application box in the head office are collected, online applications are downloaded

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and printed, some are collected from the outlets by post and some are through
references.

After collecting the applicants’ bio data the qualifications, experience and age are
matched. The applicants are selected and prioritized based on their education such as
applicants from reputed universities and year of experience they possess. While
screening them qualified applicants for the specified jobs are found, but sometimes
applicants with fewer years of experience are kept separately. And some time these
candidates’ bio data are used when there is lack of candidates for interview.

3.4.1.3.6 Short listing the potential Applicants:

After going through the bio data that matches the qualifications, applicants who are
well qualified for the positions have to be put on a short list. Following completion of
short listing process, HR personnel should give them priority in calling for interviews.

3.4.1.3.7 Schedule and arrange the interview:

After shortlisting the bio data, the arrangement of the interview starts. The short listed
candidates are to be called and they should be well informed about the interview
method, date, time and venue etc.

For these responsible personnel has to make a schedule for interview. HR manager
and respective departments’ managers, sometimes program head altogether decides a
convenient time for the interview. After scheduling the applicants are informed of the
time date venue of the interviews and if appropriate, be asked to bring photographs
for further identification.

3.4.1.3.8 Conduct interview:

Interviews must be fair, objective and structures to allow the maximum amount of
information to be obtained from the applicants. The person specification and outline
job description should form the basic questioning .which should be relevant to the
recruitment of the post.

In the interview panel there are two personnel from Aarong most of the time, one
person from the HR department and another person should be from other department.

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For example recruiting a marketing officer the representative from the HR
department is either a senior HR officer or an executive and the other interviewer in
this case would be marketing head or marketing manager. In the interview panel the
judges are given an interviewer appraisal form to keep the record of applicants’
personal attributes and their educational and professional qualification.

From officer and above there are two rounds of interviews taken. The candidates
selected from the first round interview are to be interviewed by the director of
Aarong.

3.4.1.3.9 Compile interview results:

At this stage HR compiles the interview results. In order to compile the result, average
score of the interview is calculated. Usually, the candidate that matches with hiring
departments requirements is called for the second round of interview. After the
interviews the candidates are selected by analyzing their qualifications by the director
mostly and then it is the responsibility of HR to inform applicants about the result.
But for but for entry level jobs it is the responsibility of an HR officer to finalize the
selection.

3.4.1.3.10 Background Check/ candidates’ verification:

The selected candidates will provide copies of their educational and professional
certificates ant the HR department will make arrangement for verifying these records
by calling their references checking the copies of certificates with the original ones.

3.4.1.3.11 Inform the selected candidate:

After verification of the papers submitted by the candidates, HR department will call
them for further formalities that are to be carried out like negotiation of salary,
confirmation of joining date, fitness certificate, releasing order etc.

3.4.1.3.12 Appointment:
After completion of the introductory training sessions, the candidates are asked to
come with their certificates, releasing order from previous employer, experience
certificate, reference letter etc. The regular employees are required to fill-up several
forms on the day of their appointment. These are

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 • Personal information form

• Insurance form

• Joining form

The new employees are provided PIN which is the individual identification number
assigned to every employees. The copy of certificate, releasing order, photocopy of
national ID, reference letter and two recent color photographs are kept in a new file
with the name, PIN, designation and joining date of the employee. Later these
information are input the Human resource management software (HRMS) of Aarong.

3.4.1.3.13 Training:
Training department of Aarong is a part of Human Resource department. Training
personnel are responsible for all the necessary training sessions for the new
employees. As they are to be acquainted with the new organization, working
environment, people and job responsibilities. The training officers train the new
employees to be introduced with the job and organization and make sure they are able
to perform effectively. As the training section is very small and yet they are
responsible for training employees all over the country, the training session lasts for
one day. In mid-level and higher positions the employee gets on the job training. But
positions like Sales associate, store helper and maintenance workers are mostly
trained about their job.

3.4.1.3.14 Orientation or induction:

Generally the HR department arranges employee’s orientation or induction which

provides new employees with basic background information about the organization,
information they need to perform their job, their job description or so on. It is called a
socialization process.it helps to cope with new environment very easily and it
minimizes reality shock.

3.4.2 Performance Appraisal System:

Performance appraisal system is defined as a systematic process of performance
planning, organizing, monitoring, appraising, and guiding & rewarding individual
employee’s performance by using standard tools. This is a formal management

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process being conducted through participation. The system does not merely
represent an annual event rather it represents a systematic processed viewed from the
standpoint of total perspective. The essence of performance appraisal system is that
the employee’s perform the best of their abilities to attain individual standard and
achieve the organization goals.

Aarong have a performance appraisal system closely similar to an amalgamation of

“Behavioral anchored ratings scale (BARS)” and “key performance indicator (KPI)”
performance Appraisal mechanism. The present performance is done using:

a) Appraisal by Achievement against certain behavior

b) Competence profile in current job, which includes rating or leadership quality,

resource management, business development, communicative etc.

The organization views the system as year round process. Every employee at Aarong
is being evaluated once in a year. And employees are evaluated when their working
period is more than six month. Aarong has three types of performance appraisal form,
these are – top level, mid-level and entry level, as all the employees cannot be
evaluated in same manner.

The reason for having the performance appraisal system is to evaluate them from
different aspects and find out their strengths and weakness and provide them chances
to improve them in order to perform more effectively.

There are different component of the performance appraisal system namely

performance planning, performance monitoring and performance development and
annual appraisal each of those are inter related and integrated with each other having
several sub- component under each of those components.

3.4.2.1 The Annual performance Appraisal format:

In this study, focus has been given on the performance appraisal system of the
management executive. The elements of the performance appraisal form are

a) Performance planning

b) Career growth & development

c) Performance competences

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 d) Overall performance evaluation

e) Review and comment by appraiser, appraisers’ manager and appraise

her/himself. In Aarong has four types of Performance Appraisal formats,
Form-A, for top level employees, PA Form- B, for mid-level employees, PA
Form-C, for lower level employees, and the last one is Performance Appraisal
for Sales Associates.

The appraisal forms used by Aarong given on the next few pages:

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 Human Resource Information System (HRMS):

From the beginning of the organization Aarong maintained its employee information
manually. Every employee in Aarong has a personal file with a unique personal
identification number (PIN), where HR department preserve their every document.
With the growing business Aarong has a huge workforce 650 only in head office and
more than forty five thousand people are working in production centers, which is very
difficult to maintain manually. That’s why to maintain its personnel and keep it up- to
date Aarong automated system.

After a concrete plan HR department needed an approval from the top management,
because it required huge amount of money, time, and a matter of security. With
Aarong’s strong IT team they were able to build the HRMS (Human Resource
Management System)

The Software: HRMS

This internal employee database system contains all the vital and important data of
individual employees. It contains employee’s education, personal information,
insurance information, and training, references etc. with the help of this software
Aarong HR department can keep track of their attendance and leave balances. This
data base provides a vital key to HR related issues and work.

3.4.3 Leave Management:

Managing leave in Aarong HRD one important task as there are so many employees
in 27 departments in Aarong head office, beside head office there are the outlets. The

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leave management is performed with the help of HRMS. Because of HRMS the
job of HR department has become quite easy.

Aarong keeps the attendance of the employees by finger print, employees match
finger print every morning the come to office. The attendance record is kept through
software maintained by HR department. All the employees in head office and
tailoring units in Niketon use their finger print to log in. only the outlet employees
still maintain their attendance manually. These attendance records are used when
employees take leave. When employees want to take leave they have to fill-up the
leave form and get approval from their department head then submit it to the HR
department.

After end of a month the HR department updates previous month’s leave of

employees in different departments. In HR department different people are in charge
of different departments, it is the job of the HR officers and Executives to maintain
leave of their assigned departments. The leaves forms are matched with the
attendance software and in case of outlets with the attendance register and recorded in
HRMS. The HRMS automatically counts the leave with payment and non-payment
and shows annual balance of leave for the employees. Later HR department provide
the list of non-payment leave to the Finance & accounts department to make
adjustment in the payment. There are several types of leave the employees can apply
for. These are:

• Earned Leave

• Sick Leave

• Maternity Leave

• Paternity Leave

• Extra ordinary leave






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 Earned Leave:

Earned leave is a type of leave that is earned by the employees through working in the
organization and each working day an employee earns 0.0831 day leave. So the
employees working five days a week will be able to spend 20 days of earned leave
and those employees working six days a week will be able to spend 23 days of earned
leave per year.

Sick Leave:

Employees can take sick leave with pay when they are sick and the disease is
infectious. Employees can take up to 14 days including non-working days in a year as
sick leave but if the disease takes more than 14 days to cure employees can take
special permission from director and can have 21 days leave. In these cases the
employees must provide all the documents of their sickness along with the leave form.

Maternity Leave:

Female employees who have passed more than one year in the organization are
allowed to take maternity leave for four months while they are pregnant. Maternity
leave is given with full payment and employees can also draw four months’ salary in
advance. Employees can extend their maternity leave but without payment. The
female employees can have maternity leave twice while they work at Aarong.

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 Paternity Leave:

In case of the male employee who have been working more than one year are allowed
to take paternity leave while birth of their child’s birth for about one week. In case of
paternity leave the leave is calculated including the weekends. Employees can take
paternity leave within one month of the child’s birth. Each male employee can have
paternity leave twice in his working period at Aarong.

Extra Ordinary Leave

Aarong allows its employees to take extra ordinary leave for any kind of unavoidable
and unusual situation. Employees can take leave for their higher education or
treatment in abroad if approved by the director and can join Aarong after they have
finished.

3.4.4 Promotion:
Just like any other organization promotion is one important aspect of HR in Aarong.
Promotion in Aarong is given once in a year to earnest employees. Every year in the
month of November employees are assessed by their supervisor and the employees
with outstanding performance are recommended to be promoted. The assessment is
reviewed by the HR department and after getting approval from the general manager
it has to be sent to the director for approval. There are 20 levels of employees in
Aarong all of their promotion is performed in the same manner. When the director
approves the promotions the promotion paper are sent back to HR department for
further formalities. The HR department provides one copy of promotion letter to the
employee, one copy to the Finance & Account department. And lastly update the
designation of the promoted employee in HRMS.

3.4.5 Salary Management:

Aarong has a fixed salary structure for every position but because of the increase in
standard of living in society, they adjust salary of the employees once a year. The
adjustment of the salary is usually done in July. It is the responsibility of HR
department to adjust the salary and to carry out all related formalities. While adjusting
the salary beside confirmed employees the non-confirmed employees are also brought
in to consideration. HR department calculates and adjust the new approved salary.

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After that they send one letter to the employees so that they can be aware of their
new adjusted salary and another copy to the accounts so that the salary of the
employees can be adjusted.

In Aarong the salary of the employees is increased every year in January. There are 20
levels of employees in Aarong and increment level is fixed for each of the level. In
every level employees can get 20 increments, sometimes based on the performance
salary of the employee can be increased more than once in a year. HR department is
accountable for the calculations. When the new salary is adjusted HR departments
sends letter to every employee to their department and one copy to the Accounts for
adjusting new salary structure.

3.4.6 Dismissal:
Aarong is very firm and organized about their rules and regulation. All the employees
follow these disciplines. Like any other organization Aarong follows some code of
conducts. If anyone violates the code of conducts or does not follow the general
regulations, first they will be warned with a warning document if it is not something
rigorous. But if it is something unavoidable and harmful for the organization then they
investigate about the person violating code of conduct and gather evidences. If it is
proved that the employee is responsible for violating the code of conduct then HR
department takes further action to dismiss the employee from the organization.in
cases like this some formalities are to be carried out, these are:

• First the reason for dismissal is presented at HR department.

• Then HRD appoints an enquiry team to perform the enquiry and present a report
to the HRD within a week.

• Then HRD to review it and send it to the director of the Aarong. The final
decision is made by the director.

• Once the decision is made and if the employee is to be dismissed, the HR

department gives notice to the dismissed employee about their dismissal.
Usually when an employee is dismissed they do get any facilities like
provident fund, gratuity insurance money etc. promised by the organization.

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3.5 Findings of the study:
In my internship at Aarong I have observer and found different issues, these are:

� Fair system in recruitment and selection process: Aarong believes in fair

recruitment and selection process for their employees. They try to make the
whole process unbiased and fair. The transparency in recruitment & selection
process is their first priority

� Hiring the right number of employees in right place: the objective of Aarong is
to make sure that each department has sufficient workforce to get the
organization ahead.

�The whole HR department is very well designed and organized, even though
limited workforce is a problem sometimes.

� They have lack emphasize in research and development, means that they are
continuous upgrading the work process through technology but not paying
enough attention ot the employee development and their demand.

� Competence gap for the employees is noticeable, the gap between the standard
and actual performance is noticeable in employees.

� Compensation and benefits at Aarong is not attractive comparing to other

organizations.

� Employee turnover rate is high because of the salary structure. Unless Aarong
improve their salary Structure they will have hard times finding employees
with higher competencies.

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3.6 Recommendation
After completing this project, I have come up with some recommendation which
Aarong can use for their advancement. These are

• Besides taking interviews Aarong should take written test on the computer to
understand the applicants’ computer literacy and other job related
knowledge.

• The Training for the sales associates should be more related to their job
responsibilities rather than just product orientation.

• The amount of work in HR department is huge but the manpower is

comparatively lower. As the Organization is ever growing Aarong should
recruit more HR personnel to get the jobs done in a more effective manner.

• Aarong’s website should be updated more frequently with the current issues
and vacancies. It will ease the work of HR as more people would be
informed.

• Aarong should introduce online application for their vacancies, it will help
them reducing cyber hunting times in bdjobs and other sites

• The compensation package in Aarong is not Attractive they should

restructure their salary and other compensation.

• As there is competency gap in employees Aarong should start employee

training and other development programs to develop the employees.

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 4 Chapter: Research Part

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4.1 Research Approach
Survey research was conducted to measure the Training and Development of Aarong.

4.2 Statement of the Problem

Measure the training and development programs of Aarong and try to find out the
necessary improvement of training and development programs.
4.3 Project Time Line
This study will require almost 30 days. The following table shows the time
requirement in each step of the study.

Description of Activities Days

Develop Research Methodology 5

Making the research plan 6

Developed the hypothesis 5

Conduct survey research 8

Data analysis and Findings with Interpretation 7

Total = 30

Table 6: Project time line

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 4.3.1 Gantt chart of project time allocation:

Work Month-1 Month-2 Month-3 Month-4

Allocation

Month Sep. Oct. Nov. Dec.

Week Allocation W-1 W-2 W-3 W-4 W-5 W W7 W W W W W W

6 8 9 10 11 12 13

Problem Analysis

Theoretical
Review

Proposal Writing

Methodology and
Survey

Data Analysis

Data tabulation
and Processing

Competition of
Final Report

Task deadline at
Aarong

Final Defense and

Viva

Table 7: Project Time Allocation

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4.4 Budget Information
The total expenditure to prepare this project as followed –

Serial No Particular (three Month) Amount (BDT)

1 Questionnaires 250
2 Internet 1200
3 Mobile Bill 1500
4 TA/DA 3000
5 Printing and binding of Report 500
6 Others 250
Total 6700

Table 8: Budget Information

4.5 Research Methodology

4.5.1 Hypothesis Development
With a view of fulfilling the objective some relevant hypothesis have been formulated
for this study:

1 HA: Employees are able to provide better service after being trained under
AARONG training program.
2 HA: Training is required from top to bottom levels employees in Aarong on a
regular basis.
3 HA: The management formulates training program for employees on the basis
of their needs.
4 HA: Training and Development is an essential part of HRM of AARONG.

5 HA: Training programs increase job satisfaction in AARONG.

6 HA: Training, Evaluation and Certification to the employees contribute to the

overall productivity of the Aarong

Table 9: Hypothesis Development

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4.5.2 Population definition
 Population: 150
 Elements: “Existing employees of Aarong’’.
 Extent: Aarong Head office, Dhaka.
 Duration: 19th Sep2015 – 18th Oct 2015.

4.5.3 Research Design

4.5.3.1 Data Source

 Primary Data:
Questionnaires with Structure question by the survey of employee.

 Secondary Data:
 Official website of Aarong.
 Annual Report.

4.5.3.2 Research Approach

 Survey

4.5.3.3 Research Instrument

 Questionnaires with Structure question
 6 Liker Scale Question
 6 Personal Question

4.5.3.4 Sampling Plan

 Sample Unit: Employees of Aarong
 Sample Frame: The sample frame of this study has been consisted of the
Aarong employees. The sample frame was Sample Random Sampling for
conducting questionnaire survey general Employees.
 Sampling Size: 50 Employees
 Sampling Procedure :Probability Sampling (Simple Random Sampling)

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4.5.3.5 Data Analysis
 Result Findings: MS Excel
For analysis of data Microsoft Word, Microsoft Excel, different tables and graphs
were used to make the data meaningful.
 Hypotheses Test: Z test
Hypotheses were testing to derive a meaningful conclusion from the empirical data. In
addition, basic statistical techniques of different measures of central tendency have
been used for analyzing the data. My sample size is more than 30; i am used Z test for
the study. The following formula has been followed:

Z test = X 
/ n

µ = mean value
n = sample size
σ = Standard deviation
X = Average
Based on our analyzed, I made findings, recommendations, and conclusion.
4.6 Hypothesis Scale
In order to analysis the data a 5 point Liker scale has been used. 1 stands for Strongly
Disagreed Employees, 2 stands for only Disagreed Employees, 3 stands for the neural
Employees, 4stands for Agreed Employees, and 5 stands for Strongly Agreed
Employees.
The scale has been shown below:
Customer Opinion Weighted
Strongly Disagree 1
Disagree 2
Neither Agree Nor Disagree 3
Agree 4
Strongly Agree 5

Table 10: Hypothesis Scale

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4.7 Hypothesis Testing
H1
HO: Employees are not able to provide better service after being trained under
AARONG training program.
HA: Employees are able to provide better service after being trained under AARONG
training program.
HO: µ=2.5

HA: µ> 2.5

n= 50

X = 3.64

Standard Deviation σ = 1.17

Z Cal= ( X -µ)/ (σ/√n) = 6.87

At the 5% significant level, the value of Z in Z- distribution table is Z.05=1.645.

Since Z Cal> Z tab, null hypothesis is rejected. So at 5 % significant level, I can say that,
Employees are able to provide better service after being trained under Aarong training
program

H1
20
15
10
5
0
Strongly Disagree
Disagree Nigther
Agree
agree or Strongly
disagree Agree

Figure 6: Hypothesis 1

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H2
Ho: Training is not required from top to bottom levels employees in Aarong on a
regular basis.

HA: Training is required from top to bottom levels employees in Aarong on a regular
basis.

HO: µ=2.5

HA: µ> 2.5

n= 50

X = 3.32

Standard Deviation σ = 1.25

Z Cal= ( X -µ)/ (σ/√n) = 4.63

At the 5% significant level, the value of Z in Z- distribution table is Z.05=1.645.

Since Z Cal> Z tab, null hypothesis is rejected. So at 5 % significant level, i can say that,
Training is required from top to bottom levels employees in Aarong on a regular
basis.

H2
15

10

0
Strongly
Disagree Disagree H2
Neither Agree
Agree
nor Disagree
Strongly Agree

Neither Agree
Strongly Disagree Disagree Agree Strongly Agree
nor Disagree
H2 5 8 13 14 10

Figure 7: Hypothesis 2

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H 3:
HO: The management does not formulate training program for employees on the basis
of their needs.

HA: The management formulates training program for employees on the basis of their
needs.

HO: µ=2.5

HA: µ> 2.5

n= 50

X = 3.52

Standard Deviation σ = 1.16

Z Cal= ( X -µ)/ (σ/√n) = 6.18

At the 5% significant level, the value of Z in Z- distribution table is Z.05=1.645.

Since Z Cal> Z tab, null hypothesis is rejected. So at 5 % significant level, I can say that,
the management formulates training program for employees on the basis of their
needs.

H3

6%
20%
16% Strongly Disagree
Disagree
Neither Agree nor Disagree
Agree
18%
Strongly agree
40%

Figure 8: Hypothesis 3

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H4
HO: Training and Development is not an essential part of HRM of AARONG.
HA: Training and Development is an essential part of HRM of AARONG.

HO: µ=2.5

HA: µ> 2.5

n= 50

X = 3.94

Standard Deviation σ = 0.93

Z cal= ( X -µ)/ (σ/√n) = 10.91

At the 5% significant level, the value of Z in Z- distribution table is Z.05=1.645.

Since Z cal> Z tab, null hypothesis is rejected. So at 5 % significant level, i can say that,
Training and Development is an essential part of HRM of AARONG.

H4
30

25

20

15

10

0
Nither Neither
Strongly
Disagree Agree nor Agree Strongly agree
Disagree
Disagree
H4 1 3 8 24 14

Figure 9: Hypothesis 4

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H5
HO: Training programs do not increase job satisfaction in AARONG.

HA: Training programs increase job satisfaction in AARONG.

HO: µ=2.5

HA: µ> 2.5

n= 50

X = 3.06

Standard Deviation σ = 1.31

Z Cal= ( X -µ)/ (σ/√n) = 3.01

At the 5% significant level, the value of Z in Z- distribution table is Z.05=1.645.

Since Z Cal> Z tab, null hypothesis is rejected. So i can say that Training programs
increase job satisfaction in AARONG.

H5

16% 14%
Strongly Disagree
Disagree

24% Neither Agree nor Disagree

26% Agree
Strongly agree

20%

Figure 10: Hypothesis 5

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H6
HO: Training, Evaluation and Certification to the employees do not contribute to the
overall productivity of the Aarong.

HA: Training, Evaluation and Certification to the employees contribute to the overall
productivity of the Aarong

HO: µ=2.5

HA: µ> 2.5

n= 50

X = 3.28

Standard Deviation σ = 1.24

Z Cal= ( X -µ)/ (σ/√n) = 4.43

At the 5% significant level, the value of Z in Z- distribution table is Z.05=1.645.

Since Z Cal> Z tab, null hypothesis is rejected. So at 5 % significant level, i can say that,
Training, Evaluation and Certification to the employees contribute to the overall
productivity of the Aarong

H6

18% 10%
Strongly Disagree
18%
Disagree
Neither Agree nor Disagree
30%
24% Agree
Strongly Agree

Figure 11: Hypothesis 6

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4.8 Hypothesis testing details

HYPOTHESIS H1 H2 H3 H4 H5 H6

Strongly Disagree(1) 3 5 3 1 7 5

Disagree(2) 6 8 8 3 12 9

Neither Agree nor 10 13 9 8 10 12

Disagree(3)

Agree(4) 18 14 20 24 13 15

Strongly agree(5) 13 10 10 14 8 9

Total 182 166 176 197 153 164

Average 3.64 3.32 3.52 3.94 3.06 3.28

Standard Deviation 1.17 1.25 1.16 0.93 1.31 1.24

Z-test 6.87 4.63 6.18 10.91 3.01 4.43

Table 11: Hypothesis testing details

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4.9 Research Findings
1) 26% people are strongly agreed and 36% people are agreeing that employees are
able to provide better service after being trained under AARONG training
program.
2) 20% strongly agreed, 28% agreed, 26% Neither agree nor Disagree, 16% are
disagree, 10% customers are strongly disagree. So Training is required from top
to bottom levels employees in Aarong on a regular basis.

3) 20% strongly agreed and 40% agreeing that the management formulates training
program for employees on the basis of their needs.

4) 28% people are strongly agreed and 48% people are agreeing that Training and
Development is an essential part of HRM of AARONG.

5) 16% strongly agree, 26% agree, 20% neither agree nor disagree, 24% people are
disagree so that Training programs increase job satisfaction in AARONG.

6) 18% strongly agree and 30%are agreeing that Training, Evaluation and
Certification to the employees contribute to the overall productivity of the
Aarong.

Table 12: Research Findings

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4.10 Recommendation

From the result of the survey conducted by me, it can be said that Training and
Development process is an integral part of the success of an organization. Aarong
Training and Development process is quite good, but there are some scopes for
improvements:

Aarong should provide a comprehensive training to its employees at the

beginning of the employee’s career.
Aarong should arrange training session related to the job responsibilities for
each of its employees every year.
Aarong should formulate the training syllabus according to requirements,
evaluate performance of the trainees and reward best performers in order to
motivate employees.
Aarong should arrange on the job training through job rotation, job
enlargement and job enrichment. In this way Aarong will save lot of
manpower, increase responsibility to employee and ultimate result is job
satisfaction.
Aarong should take feedback from the employees after every training session
and take necessary steps to improve training based on the feedback.
Aarong should allow autonomy to some efficient employees so that he may
work independently without interference by supervisors which sometimes
hampers productivity.

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4.11 Conclusion

Since 1978 Aarong is operating business in the fashion industry and they are now the
leading fashion brand in Bangladesh. At present Aarong provides the local and
international public opportunity of owning a Bangladeshi handcrafted product. It is
playing the role of representative of Bangladeshi culture to the outside world. As a
result of the valuable contribution of artisans and handicraft producers and the
administrative staffs, Aarong has come so far. The qualified human resources of
Aarong keep the business running and foster the growth of business. The HR
department of Aarong ensures attract, attain and retain of talent staffs within the
organization and helps in placing right people, at the right place, at the right time
doing the right job. Talent and qualified staffs are loyal to the Aarong for its best
compensation package. Staffs of this organization are satisfied with their overall
compensation benefits. However competitors can attract talents of Aarong through
offering more attractive salaries and other benefits. For this reason Aarong should be
more concern about it and should increase salary of staffs. It can introduce
performance bonus, profit sharing, and lunch facility to the staffs. However the
recruitment and selection of staffs is the main responsibility of HR department.
Except this they have some other responsibilities such as transfer of staffs,
maintaining attendance of staffs, leave management, performance appraisal related
activities, confirmation of staffs, job separation, grievance management etc. so HR of
Aarong can take initiatives as competitors cannot attract talent staffs of Aarong. As
Aarong is growing and spreading its outlets throughout the whole country, this
organization will require lots of qualified human resources. Human Resource
department of Aarong will ensure hiring pool of qualified, talented human recourses
for Aarong. Through attract, attain, and retaining talent staffs by offering excellent
compensation package to the talents HR department will encourage Aarong to move
forward.

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 5 Chapter: Appendix

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5.1 Bibliography
 Dessler, Gary. “Human Resource Management”. 9th edition. New Delhi:
Prentice-Hall
 W. Bohlander, George. Managing Human Resources”. South Western
College.
 Hodgetts, Richard M. “Modern Human Relation”. South Western College
 David, Ulrich.“Roadmap to Strategic HR”

5.2 Work Sited:

 http://www.aarong.com

 www.brac.net/content/aarong‎

 en.wikipedia.org/wiki/Aarong‎

 http://www.scribd.com/doc/Edited-aarong-Report

 www.wikipedia.org

5.3 Journals
 Annual report of Aarong Limited-2014
 Annual report of Aarong Limited-2013
 Annual report of Aarong Limited-2012

5.4 Appendix
5.4.1 Questioner survey
I am Md. Mahadi Hasan, ID # 13304063 student of MBA program under College of
Business Administration in IUBAT- International University of Business Agriculture
and Technology. I am going to conduct an intern report the name of the topic is “HR
policies and Practices of Aarong and A research on Training & Development
programs. What i need to do this for my intern purpose and the fulfillment of
practicum report.

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[Please fill up or put a tick (√) mark appropriately for the following questions.
Thanks a lot in advance.]

Personal Question
1) Gender: Male Female
2) Name:
3) Age:
4) Contact Number:
5) E-mail:
6) Have you any recommendation on how to improve services of Aarong
Ans:

1. Employees are able to provide better service after being trained under Aarong
training program:
a) Strongly disagree,
b) Disagree,
c) Neither agree nor disagree,
d) Agree,
e) Strongly agree,

2. Training is required from top to bottom levels employees in Aarong on a

regular basis.
a) Strongly disagree,
b) Disagree,
c) Neither agree nor disagree,
d) Agree,
e) Strongly agree,

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 3. The management formulates training program for employees on the basis of
their needs.
a) Strongly disagree,
b) Disagree,
c) Neither agree nor disagree,
d) Agree,
e) Strongly agree,

4. Training and Development is an essential part of HRM of Aarong.

a) Strongly disagree,
b) Disagree,
c) Neither agree nor disagree,
d) Agree,
e) Strongly agree,

5. Training programs increase job satisfaction in Aarong

a) Strongly disagree,
b) Disagree,
c) Neither agree nor disagree,
d) Agree,
e) Strongly agree,

6. Training, Evaluation and Certification to the employees contribute to the

overall productivity of the Aarong.
a) Strongly disagree,
b) Disagree,
c) Neither agree nor disagree,
d) Agree,
e) Strongly agree,

Thanks a lot for your co-operation

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