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HUMAN RESOURCE DEPARTMENT OF STATE BANK OF PAKISTAN:
 

HUMAN RESOURCE DEPARTMENT OF STATE BANK OF PAKISTAN:

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A SURVEY CONDUCTED ON HRM DEPARTMENTS OF SBP

A SURVEY CONDUCTED ON HRM DEPARTMENTS OF SBP

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    HUMAN RESOURCE DEPARTMENT OF STATE BANK OF PAKISTAN: HUMAN RESOURCE DEPARTMENT OF STATE BANK OF PAKISTAN: Document Transcript

    • HUMAN RESOURCE MANAGEMENT April 16, 2013 HUMAN RESOURCE DEPARTMENT OF STATE BANK OF PAKISTAN: STATE BANK OF PAKISTAN: The State Bank of Pakistan (SBP) is the central bank of Pakistan. After its nationalization in 1974 the scope of its functions was considerably enlarged. There are two subsidiaries of SBP namely State Bank of Pakistan-Banking Services Corporation (SBP-BSC) and National Institute of Banking and Finance (NIBAF). The Governor SBP is chairperson of Boards for both the subsidiaries. OVERVIEW: Human Resources Department (HRD) at the State Bank of Pakistan is making continuous efforts to strengthen the participative role of HR. During the year, HRD remained focused on building a strong relationship between the management and employees. A smooth union referendum and a collaborative approach towards amicable resolution of the unionized staff’s problems were part of the efforts. After ten years, the referendum was a significant step towards having amiable industrial relations between management and the unionized employees. Significant developments during the year also included reviews of various HR policies and practices to re-align these with the Bank’s strategic objectives. HRD ACTION PLAN 2011-2015 HRD developed a comprehensive five-year action plan in alignment with the overall strategic direction of the Bank. The plan focuses on three specific goals aimed at improving efficiency and effectiveness of the existing HR policies and programs. These goals are: to further improve SBP’s work ethics philosophy, promote value-based performance culture, and enhance the effectiveness ofvarious HR policies such as succession planning, performance management, recruitment andcompensation, balancing bank-wide workload distribution, and implementation of capacity building initiatives in co-ordination with Training & Development Department. HRD plans to implement these targets in a prioritydefined phase wise approach within the next five years. OUR PEOPLE, OUR ASSETS At the State Bank, we firmly believe that the principal source of our strength as an organization is our human resource base. Managerial attention at the Bank has therefore Page | 1
    • HUMAN RESOURCE MANAGEMENT April 16, 2013 been focused on the need to continuously invest in people, provide them with the right incentives to perform better and to make merit and performance the criteria for professional and career development. At the State Bank, we strive to develop and sustain a work environment in which each employee is empowered, is provided with opportunities for professional growth and is recognized and rewarded for the contribution made towards achievement of organizational objectives. We value diversity in terms of the unique characteristics that each member of our team brings to the organization as reflected in diverse educational and professional backgrounds, cultural and gender perspectives. This mix positively impacts institutional approach and decision processes by providing broader horizon, helping along the way the institution to be a more aware and responsive organization. MISSION STATEMENT To transform the State Bank of Pakistan into an “Employer of Choice” this nurtures talent through its enabling culture. VISION STATEMENT We are committed to excellence at acquiring, developing and retaining the right talent by: Aligning our HR policies with market Serving as a strategic partner to the line Departments Administering superior and prompt HR services Page | 2
    • HUMAN RESOURCE MANAGEMENT April 16, 2013 HUMAN RESOURCE DEPARTMENT STRUCTURE: DIRECTOR HRD Regulation & Compliance Div Emp Relationship Counseling Unit Disciplinary & Litigation Unit Transfer & Posting Unit Admin & Coordination Unit Internal Audit & Compliance Unit Business Planning unit Talent Management Div Reward Management & HIRS Div HR Planning Job Analysis & Design Unit Comp & Ben Planning Unit Recruitment Planning & OD Employee Database Unit Assessment Center Service Record & Compliance Unit Employee Orientation HR Automation Unit Internal Job Posting Unit Performance management Unit Reward Recognition Unit Succession Planning Employee Motivation & Retention Unit Job Evaluation Unit Page | 3
    • HUMAN RESOURCE MANAGEMENT April 16, 2013 SURVEY: During our visit to SBP, our focus was on gathering information in reference to Human Resource Department, apart from understanding organizational and Management structure that is being practiced in State Bank of PAKISTAN. Following are the HR department of SBP which we have covered during our survey: 1. 2. 3. 4. 5. Recruitment & selection Training & development Employee benefit Performance appraisal system Performance management system (PMS) 1. RECRUITMENT & SELECTION RECRUITMENT AT SBP: (ENSURING COMPETITION, MERIT AND TRANSPARENCY) It refers to the process of attracting, screening, selecting, and on boarding a qualified person for a job. In the perspective of management’s philosophy regarding acquisition of talent, recruitment activity was concentrated at the entry level positions. This approach being in line with strategic needs of the Bank was undertaken to hire skilled human resource. This approach also serves as a progressive career path for our workforce through mechanisms such as career development and succession planning. Selection of the right people for the job is the first step towards developing an efficient institution. Great stress has therefore been laid on ensuring that the recruitment process at the State Bank is highly competitive, transparent and merit based. As a result of this conscious policy, we have been able to attract some of the top talent in the country in the fields of Economics, Finance, Business administration, IT, Accounts and Audit as well as Statistics. As an Equal Opportunity Employer we consciously seek diversity in terms of education, geographical representation and gender and have actively encouraged women to apply for positions at the State Bank. As one of the largest employers of professionals in the country, with intake of more than 70 fresh graduates at entry level positions and frequent recruitment at senior levels, we have successfully developed a system that is unblemished by nepotism, subjectivity and political interference, All recruitment is through open advertisement and follows a well drawn out procedure involving thorough scrutiny of all applications according to clearly specified criteria, written tests developed and administered by external experts and interviews by a panel that has representation from our Board of Page | 4
    • HUMAN RESOURCE MANAGEMENT April 16, 2013 Directors as well as private sector specialists in the relevant field. This commitment to quality and merit will continue in our recruitment and other managerial actions. Eligibility Criteria for selection: QUALIFICATION: Masters Degree or 16 years of education (with at least 60% marks where percentage system applies, or, minimum 3.00 CGPA where GPA system applies) in Business/ Public Administration, Business Economics, Economics, Statistics, Commerce, Mathematics, Computer Science/ I.T from HEC recognized university AGE: Maximum 28 years as on the last date of submission of applications to SBP-BSC. DEGREE COMPLETION Candidates awaiting final result are not eligible to apply. Candidates should have fully completed all requirements of degree and must attached copy of Provisional Certificate, Mark sheet/ Transcript. WRITTEN TEST: The candidate meeting the above eligibility criteria are required to register themselves with NATIONAL TESTING SERVICE (NTS) for appearing in the written test. SELECTION PROCEDURE: Eligible candidates will be required to take a comprehensive written test in English Composition, Quantitative Skills and Current Affairs/ Intelligence/ General Knowledge. Candidates who qualify the written test will be invited to appear for Group Discussion. Only the candidates who qualify the Group Discussion phase would be eligible to appear before an interview panel on same date. Selection will depend on marks obtained in written test, Group Discussion and interview(s). Successful candidates will be selected in order of merit, as Assistant Direct (OG -2) in State Bank of Pakistan, Karachi. All appointments in State Bank of Pakistan are made in compliance with prescribed regional/ Provincial Quota requirement. The candidates short listed on the basis of merit of written test and available number of vacancies will be invited for interview before a selection board at SBP-BSC PRE-INDUCTION TRAINING: The selected candidates will be imparted up to 4 weeks training COMPENSATION PACKAGE: The selected candidates will be offer appointment for the position. They will entitle to: Page | 5
    • HUMAN RESOURCE MANAGEMENT April 16, 2013 Consolidate monthly monetized salary of Rs 34,000/- in the salary range of Rs 34,000 – 79,350 Medical facility for self, dependent spouse and dependent children only as per bank’s rule Provident Fund, Gratuity, Leave Fare Assistance, Staff Loans & other facilities as per bank’s rules APPLICATION PROCEDURE: After the announcement of written test result by NTS. The application forms will be available online at www.sbp.org.pk/jobs/. Printed copies are available on all offices of SBPBSC across the country. Application sent via e-mail will not be entertained. RECRUITMENT: MBA WRITTEN TEST MA(ECO) 8-10 WEEKS DEPARTMENTAL OFFICIAL TRAINING POSTING AT NIBAF MPA M. COM INTERVIEW CA ETC. WITH 7 YEARS EXPERIENCE APPOINTMENT OR SPECIFIED QUALIFICATION/ EXPERIENCE Recruitment Challenges Due to their professional competence and experience gained at the Bank, SBP officers are in great demand in the financial sector and this poses a phenomenal challenge to HRD in acquiring, motivating and retaining professionals at the SBP. Similarly, due to the excellent knowledge base, the SBP employees have secured various competitive scholarships for higher studies abroad offered by HEC, British Council and other international institutions. Page | 6
    • HUMAN RESOURCE MANAGEMENT April 16, 2013 With regard to the fresh appointment, the recruitment for two SBOTS batches was dropped because the candidates did not meet the required standard which hampered the inflow of young officers at the entry level. However, after the restructuring of the Bank in September last year, a lot of specialized positions were identified and it was a challenge for HRD to fill these specialized positions on urgent basis, which was met effectively. 2. TRAINING AND DEVELOPMENT TRAINING Advanced Recruiting Trends offers corporate recruitment teams, third-party agencies, and individual recruiters a variety of options to access the industry’s most comprehensive and innovative recruitment training available. DEVELOPMENT Development refer to the growth of an employee for its future prospectus like career development plan in which company focus how employee develop himself and where he wants to see after five years TRAINING AND DEVELOPMENT DEPARTMENT (T&DD) OF SBP: Training and Development Department (T&DD) is responsible for assessing and arranging for the training needs of SBP employees. To address the requirements, training is organized on three tracks, i.e., central banking, function specific, and management development. The department liaises with reputable domestic and international institutions for these training needs. Officers received foreign training also. A total of 267 officers benefitted from training at prestigious local training institutions. Under the SBP internship program, 219 interns from within the country and three interns from foreign institutions were facilitated.T&DD arranged central banking trainings on important subjects like ‘Operational Risk Management, Financial Crisis ManagementLessons Learnt, How to Inspect Quality of Bank Assets, Assessment of Banking Sector Stability, Islamic Housing Finance, Agricultural Lending Documents, and Risk Management. A Foundation Training Program for promoted officers Grade-1 was arranged at SBPLRC. Page | 7
    • HUMAN RESOURCE MANAGEMENT April 16, 2013 IN-HOUSE TRAINING In-house trainings are designed to lower travel cost, minimize displacement from work stations, and attract maximum participation. The Department coordinated with NIBAF to deliver 16 courses for 282 participants, including 4 specially tailored management development soft skill courses facilitated at SBP LRC. HIGHER EDUCATION To develop its human resource for future challenges, scholarships were granted for higher studies pursued domestically and abroad. Three employees were enrolled in foreign universities, i.e., 2 atWilliams College, USA and one at Australian National University, Australia while 23 officers were enrolled in domestic universities in the evening MBA/MS programs during 2009-10. DOMESTIC TRAINING For the professional development of its employees and to further enrich their knowledge base in function specific and management development areas, SBP facilitates its employees’ participation in domestic institutional trainings at IBA, IBP, LUMS, PMI, PIM, and others. FOREIGN TRAINING To participate in training programs on central banking offered by foreign training institutions, SBPencourages its employees and provide them opportunities. Officers attended various training courses, workshops, seminars, pertaining to core & support functions of the SBP. These programs were offered by the IMF, Federal Reserve Bank of New York, ADB, IDB, BNM, FSA, MAS, Boulder Institute of Microfinance, AUSTRAC, APRACA, BNM, Toronto Centre,and other prominent institutions. 3. EMPLOYEE BENEFITS: Compensation and benefitsprovided           Base Pay Overtime Pay Travel/Meal/Housing Allowance Benefits including: dental, insurance, medical, vacation, leaves, retirement. Staff Loan Policy Facility Of Bank’s Car & Petrol Ceiling Medical Facilities Telephone Charges At Residence Facility Of Newspapers & Journal Family Pension Page | 8
    • HUMAN RESOURCE MANAGEMENT April 16, 2013 LEAVE ENTITLEMENT SBP is providing a various benefits to their employees such as leave benefits and advances. In leave benefits every employee has two leave accounts: RLA & SLA. Employee cannot obtain only medical or sick leave , they have various reasons of leave such as attend party, attend seminar, outstation leave, domestic problems, R & R leave etc. Employee can avail leave facility for perform of Hajj. SBP also provide Rest and recreation 15 days leave to their employees. R and R leave avail once in a year. In SBP female employees is also availing female leave facility maternity and iddat leave. Maternity leave can avail thrice during whole period of job. SBP made proper process of leave application to facilitate to their employees. After retirement/ resignation/death net qualifying service form is very important for calculation of Net Qualifying Service and case forwarded to internal monitoring unit for their “In order Certificate”. ADVANCES: SBP has designed a dynamic and flexible compensation and benefits program and has adopted the philosophy of Total Remuneration (TR) for its employees. One important part of TR is Loans & Advances which are allowed to its employees to facilitate and overcome, primarily the accommodation problem. While facilitating the employees, SBP also takes appropriate measures to safeguard its interest and accordingly various checks & balances are put in place to achieve this objective. The types of loans/Advances provided to employees are as follows:Personal Loan Staff Loans Motor Car Loan Motor Cycle Loan House Building Loan Personal Computer & Printer Loan REWARDING/RECOGNIZING EMPLOYEES AT SBP: Recognizing the importance of employee recognition and reward as a tool to motivate employee as well as to inculcate a positive, productive and innovative organizational culture, State Bank of Pakistan has introduced an on-going program for Employee Recognition and Reward. This program is aimed at fostering a culture of acknowledgement Page | 9
    • HUMAN RESOURCE MANAGEMENT April 16, 2013 and appreciation amongst employees for introducing innovative business practices, showing extra ordinary efforts for achievement of goals and enhancing Bank’s corporate image. Using various methods of recognition ranging from simple “Thank you” letters to elaborate celebrations and monetary rewards, we endeavor to motivate employees, encourage optimum performance and instill professional commitment and loyalty throughout the Bank. Formally, the Employee Recognition Policy and Program encompasses four types of recognition levels, based on the achievement of the individuals/teams. These are: Level 1 - Individual Contribution Award, an informal way of recognition at individual level, which includes simple Thank you notes / emails / letters Level 2- Departmental Commitment Award, includes a cash award of Rs. 5,000/-, a recognition certificate & department wide recognition Level 3- Organization Competence Award, includes cash award of Rs. 15,000/-, a recognition certificate & shield and Bank wide recognition Level 4- Excellence Award, includes cash award of Rs. 30,000/-, a recognition certificate & shield and Bank wide recognition In order to effectively realize the benefits of this highly beneficial program, all employees in general and particularly departmental and divisional are encouraged to recognize employees who through their effort promote organizational values or are high achievers on an ongoing basis to create an environment of mutual support and respect. By adopting the practice of recognizing and recommending each other’s positive behaviors for reward we will develop and achieve an organization wide culture of mutual trust and appreciation which will contribute towards making SBP a better place to work with highly motivated employees proud of their association with the organization 4.PEFFORMANCE APPRAISAL The process by which a manager or consultant (1) examines and evaluates an employee's work behavior by comparing it with pre-set standards, (2) documents the results of the comparison, and (3) uses the results to provide feedback to the employee to show where improvements are needed and why.Performance appraisals are employed to determine who needs what training, and who will be promoted, demoted, retained, or fired. OBJECTIVES OF PERFORMANCE APPRAISAL To maintain records in order to determine compensation packages, wage structure, salaries raises, etc. To identify the strengths and weaknesses of employees to place right men on right job. Page | 10
    • HUMAN RESOURCE MANAGEMENT April 16, 2013 To maintain and assess the potential present in a person for further growth and development. To provide a feedback to employees regarding their performance and related status. To provide a feedback to employees regarding their performance and related status. It serves as a basis for influencing working habits of the employees. To review and retain the promotional and other training programs. 5. PERFORMANCE MANAGEMENT SYSTEM: OBJECTIVES OF PMS: The major objectives of performance management are discussed below: To enable the employees towards achievement of superior standards of work performance. To help the employees in identifying the knowledge and skills required for performing the job efficiently as this would drive their focus towards performing the right task in the right way. Boosting the performance of the employees by encouraging employee empowerment, motivation and implementation of an effective reward mechanism. Promoting a two way system of communication between the supervisors and the employees for clarifying expectations about the roles and accountabilities, communicating the functional and organizational goals, providing a regular and a transparent feedback for improving employee performance and continuous coaching. Identifying the barriers to effective performance and resolving those barriers through constant monitoring, coaching and development interventions. Creating a basis for several administrative decisions strategic planning, succession planning, promotions and performance based payment. Promoting personal growth and advancement in the career of the employees by helping them in acquiring the desired knowledge and skills. Page | 11
    • HUMAN RESOURCE MANAGEMENT April 16, 2013 EMPLOYEE REVIEW PROCESS Business leaders also need to determine what type of review process to implement. There are different types of employee reviews, including the following: TOP-DOWN REVIEW: This performance review is conducted by someone above the employee in rank at the company -- this could mean a direct supervisor, manager of a business unit, executive, or all of the above. Putting a direct supervisor in charge is often the most effective way to assess an employee's performance and provide valuable feedback as to how they can improve. In larger organizations, these reviews are sometimes filled out by line supervisors and then conducted by human resources personnel. Either way, the review often culminates in a discussion regarding achievement of pre-determined goals. PEER REVIEW: In this case, employees are evaluated by co-workers. The benefit of this type of review is that peers at the same level as the employee understand the challenges better than someone judging performance from the top down. The risk is that rivalries can alter performance reviews, if jealous co-workers review each other more critically, particularly if they are in competition for promotion or pay raises. 360-DEGREE REVIEW: Literally, in a 360-degree review, employees are evaluated from all angles -- above, below, and sideways. That means supervisors, peers, subordinates, and even sometimes customers put in their two cents about the employee. These types of reviews are often spear-headed by the human resources department and those giving input are usually allowed to remain anonymous. Critics of 360-degree reviews say that anonymity can pave the way for excessive -- and sometimes vindictive -- criticism and ultimately leave the employee who is the subject of the review feeling under attack. SELF-ASSESSMENT: The employee self-assessment can be used in conjunction with any of the other review processes listed above. Some companies have found this very useful in that it can help cue managers as to areas in which an employee can improve and may benefit from training. It can also allow the employee to undertake some constructive criticism and be more willing to receive feedback from a manager. Employees, in fact, can sometimes be harder on themselves than their managers are. But the downside is that an employee's view of their performance sometimes might diverge greatly from a manager's view, which presents challenges in the review process. Page | 12
    • HUMAN RESOURCE MANAGEMENT April 16, 2013 PERFORMANCE MANAGEMENT SYESTEM OF SBP There was a general feeling among the staff that the system of performance evaluation prevailing at the SBP was subjective and did not provide opportunities for improvement and development of the staff. It was therefore felt necessary to introduce new Performance Management System aimed at correcting the deficiencies of the existing system. The present shape of PMS emerged after extensive consultation and feedback received from the staff. The process started with pre-pilot run and then proceeded with focus group presentations, pilot-run, review committees, HR consultants, training workshops, presentations to HODs & CMT and post implementation modifications based on stakeholders’ feedback. The aim of modifications & refinements was to make the system more effective, user friendly and acceptable in the light of the local culture & environment. The Competency Model for SBP was considered to be an essential part of PMS. This Model catered for identification & development of necessary behavioral attributes envisaged for human capital. The development of technical skills as well as behavioral competencies was necessary to enhance capacity of human capital at the Bank. However, some aspects of the program were deferred during the first year for the sake of smooth implementation. For evaluation purposes, a total of thirty-one behavioral competencies have been identified. From these competencies, a matrix of 12 to 14 competencies has been developed for each Department, depending upon the nature of its functions. In each competency matrix, there are six Core competencies which apply across the board; five competencies are grade specific while the remaining competencies are function specific. The individual departments can customize these matrices by adjusting the levels and relative weights of each identified competency according to the hierarchical levels and nature of assignments. Like any other developmental product, up dates were incorporated as the model was put into action and feedbacks received during the initial process of implementation. The level-wise selected competencies have been clearly described in the Competency Dictionary in the form of observable behaviors to create understanding of terminologies & ensure consistency. The initial version of Competency Dictionary was revised after taking into account recommendations of the task force established for its review. Additional enhancements in the Competency Model have been undertaken to further customize it while using SBP workplace behavioral examples. PHASES OF PMS IN SBP In SBP, performance management system phases comprises of five phases which are explained below: 1. PERFOMANCE PLANNING PHASE: This phase involves goal setting and competency setting which is listed in Form-1. These goals and competencies are set by a mutual agreement between the appraisee and appraiser. The goals are picked from the approved Annual Departmental Business Plan. In case of competencies, there are three types of core competencies (mandatory for all), role specific and function specific competencies. The grand total of the goals should be equal to Page | 13
    • HUMAN RESOURCE MANAGEMENT April 16, 2013 100. Next training needs are identified in consultation with the appraiser. The appraisee is your immediate boss and the reviewer will be the person next in the hierarchy.For example, for OG-2, OG-3 or OG-4 the Appraiser is Divisional Head and the Reviewer is HOD/Director. The form is then sending to the appraiser then he send it to HRD or send back to appraisee for rework. 2. PERFOMANCE MANAGING PHASE: The role of appraiser, reviewer and appraisee is very important in PMS. The appraiser and reviewer should guide them and give them feedback of their performance on regular basis. Career development is the responsibility of employee. He should ask for the feedback on completion of the task. It is highly recommended for appraises and appraisers both to make use of STAR Form (attached)to record accomplishments/ critical events throughout the year and use it at the time of appraisal. STAR stands for situation, actions and results. In case of transfer, deputation and promotions Form-1 is revised again in consultation with new supervisor. As far as leaves are concerned, Appraisee, Appraiser and Reviewer are all advised to avoid absences from work and schedule their leaves and official assignments accordingly enabling us to finalize the PMS Appraisal Phase and subsequent AMI process well in time. If the leaves cannot be rescheduled then concerned Appraisees, Appraisers, and Reviewers are requested to finalize Appraisal process for that particular employee beforehand, even before the timeline. 3. PERFORMANCE REVIEW PHASE: In this phase what the employee actually did is recorded in the Form-II. Actual achievements are written against goals and behavioral examples against competencies. Following this, an appraisal interview is conducted and the ratings of goals and competencies are finalized. Appraiser and Reviewer will evaluate the performance of the appraisee on the same form. The appraise is required to submit Form-II to his/her appraiser, who after the appraisal interview, will award rating to each goal and competency and record his/her comments. There are 5 rating levels for goals (outstanding, commendable, competent, marginal and unsatisfactorily) and 5 levels for competencies (always effective, usually effective, occasionally effective, rarely effective, never effective). Separate spaces are available for both appraisee and appraiser as a comment box in Form-II for any comments. 4. PERFORMANCE REWARD PHASE: Annual Merit Increase (AMI) is given to employees up to OG-7. Employees OG-1 and below are evaluated and awarded AMI on a different scale. To be eligible for AMI an employee must at least perform 3 months of satisfactory service. Bell curve cluster technique is applied to decide the AMI. There are four bell curve categories A, B+, B, C. Top 15%, Next 25%, next 50% and last 10% fall in each category respectively. Bell curve is also used for promotion and other HR processes. Page | 14
    • HUMAN RESOURCE MANAGEMENT April 16, 2013 5. APPEALS COMMITTEE: If an employee is not satisfied with his rating he/she can file an appeal with PMS appeal committee.HRD shall inform you about the date and time of your appeal interview where you can discuss your grievances with the panel members of appeal committee. EFFECTIVE PERFORMANCE MANAGEMENT SYSTEM Any effective performance management system includes the following components: Performance Planning: Performance planning is the first crucial component of any performance management process which forms the basis of performance appraisals. Performance planning is jointly done by the appraise and also the reviewer in the beginning of a performance session. During this period, the employees decide upon the targets and the key performance areas which can be performed over a year within the performance budget, which is finalized after a mutual agreement between the reporting officer and the employee. Performance Appraisal and Reviewing: The appraisals are normally performed twice in a year in an organization in the form of mid reviews and annual reviews which is held in the end of the financial year. In this process, the appraise first offers the self-filled up ratings in the self-appraisal form and also describes his/her achievements over a period of time in quantifiable terms. After the self-appraisal, the final ratings are provided by the appraiser for the quantifiable and measurable achievements of the employee being appraised. The entire process of review seeks an active participation of both the employee and the appraiser for analyzing the causes of loopholes in the performance and how it can be overcome. This has been discussed in the performance feedback section. Feedback on the Performance followed by personal counseling and performance facilitation: Feedback and counseling is given a lot of importance in the performance management process. This is the stage in which the employee acquires awareness from the appraiser about the areas of improvements and also information on whether the employee is contributing the expected levels of performance or not. The employee receives an open and Page | 15
    • HUMAN RESOURCE MANAGEMENT April 16, 2013 a very transparent feedback and along with this the training and development needs of the employee is also identified. The appraiser adopts all the possible steps to ensure that the employee meets the expected outcomes for an organization through effective personal counseling and guidance, mentoring andrepresenting the employee in training programs which develop the competencies and improve the overall productivity. Rewarding good performance: This is a very vital component as it will determine the work motivation of an employee. During this stage, an employee is publicly recognized for good performance and is rewarded. This stage is very sensitive for an employee as this may have a direct influence on the self esteem and achievement orientation. Any contributions duly recognized by an organization helps an employee in coping up with the failures successfully and satisfies the need for affection. Performance Improvement Plans: In this stage, fresh set of goals are established for an employee and new deadline is provided for accomplishing those objectives. The employee is clearly communicated about the areas in which the employee is expected to improve and a stipulated deadline is also assigned within which the employee must show this improvement. This plan is jointly developed by the appraisee and the appraiser and is mutually approved. Potential Appraisal: Potential appraisal forms a basis for both lateral and vertical movement of employees. By implementing competency mapping and various assessment techniques, potential appraisal is performed. Potential appraisal provides crucial inputs for succession planning and job rotation. Page | 16
    • HUMAN RESOURCE MANAGEMENT April 16, 2013 “SURVEY RESULTS” 1. TRAINING: Which technique is most suitable for training? 70% 20% DEPENDS ON NEED 10% OFF THE JOB ON THE JOB Does training improve performance? 90% 10% YES NO Page | 17
    • HUMAN RESOURCE MANAGEMENT April 16, 2013 The SBP policies and procedures create a positive work environment for employee? 70% 20% SLIGHTLY AGREE STRONGLY AGREE 10% SLIGHTLY DISAGREE 2. RECRUITMENT AND SELECTION: What should be the best recruitment sources according to your preference? 70% 20% BOTH INTERNAL RECRUITMENT 10% EXTERNAL RECRUITMENT Page | 18
    • HUMAN RESOURCE MANAGEMENT April 16, 2013 How would you rate the HR department’s performance in recruitment and selection? 80% 10% ADEQUATE 3. 10% EXCELLENT GOOD EMPLOYEES BENEFITS: The organization clearly communicates its goals and strategies to you? SOMEWHAT AGREE 20% DISAGREE 20% STRONGLY DISAGREE 20% SOMEWHAT DISAGREE 40% Page | 19
    • HUMAN RESOURCE MANAGEMENT April 16, 2013 How flexible is the bank with respect to your family responsibilities? SOMEWHAT FLEXIBLE 10% NEITHER 10% SOMEWHAT INFLEXIBLE 80% 4. PERFORMANCE MANAGEMENT SYSTEM: You are provided opportunity to suggest improvement in the ways things are done? Page | 20
    • HUMAN RESOURCE MANAGEMENT April 16, 2013 Sales 10% YES NO 90% Is the performance appraisal system is a two way communication? 20% YES NO 80% Does the employees actively participates in the job related activities? 30% YES NO 70% Page | 21
    • HUMAN RESOURCE MANAGEMENT April 16, 2013 Are you satisfied with the current performance evaluation system of your organization? 10% 10% PARTIALLY SATISFIED FULLY SATISFIED HALF SATSFIED 80% Do you agree with the evaluation results you get? 10% INDIFFERENT OPINION 20% AGREE STRONGLY AGREE 70% Do you always get the expected results of the performance evaluation whatever you are expecting? Page | 22
    • HUMAN RESOURCE MANAGEMENT April 16, 2013 10% 20% SOMETIME MOST OF THE TIME NEVER 70% How do you feel when you get the result? 10% 10% CONFUSED SATISFIED DISSATISFIED 20% 60% NO FEELING Do the evaluation results impact on your behavior, attitudes and morale? Page | 23
    • HUMAN RESOURCE MANAGEMENT April 16, 2013 40% YES,ALWAYS SOMETIME 60% Are you satisfied with the existing performance management system? Page | 24
    • HUMAN RESOURCE MANAGEMENT April 16, 2013 40% NO 60% YES Does the promotions are strictly based on performance management system? 10% YES NO 90% CONCULSION: State bank of bank have excellent human resource management system for their employee’s for their motivation and satisfaction. Best policies attract and retain the best employee’s. Human resource management is the most pivotal element affecting an Page | 25
    • HUMAN RESOURCE MANAGEMENT April 16, 2013 organization’s overall performance. It is directly related to employee’s commitment with the organization and leading organizations always use it as a tool to attract and retain the most talented human resource capital. TRAINING: SBP use on the job, off the job training technique and most of the time its depends on need, training improve employees performance, last year SBP are providing 10% external and 20% internal training. RECRUITMENT AND SELECTION: SBP use internal recruitment ,external recruitment and both type of recruitment sources, they have the best hiring system ,its selection procedure include written test ,interview, group decision, SBP HR team act as a consultant to enhance the quality of the applicant pre screening process. EMPLOYEES BENEFITS: State bank of bank provides excellent benefits for their employee’s for their motivation and satisfaction. Its provide career advancement path to their employees ,SBP clearly communicate its goal and strategies to their employees. PERFORMANCE MANAGEMENT SYSTEM: SBP performance management system is excellent because its performance appraisal system is a two way communication, employees are participated in the job related activities, salary increment and career development is the main reason for conducting performance evaluation, SBP performance management system is clearly defined in the organization ,employees are free to argue about the performance evaluation result if they are not satisfied. So overall human resource management system is excellent in SBP. It is the most dynamic and progressive public sector organization of the country and is playing a vital role in the economic revival, growth and development of Pakistan. Page | 26