Hrm practices of chittagong fashion ltd

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“HRM Practices of Chittagong Fashion Ltd”
Submitted To
Prof. Md. Abdul Quddus
Dean
Department Of Business Administration
Dhaka International University
Submitted By
MD. Nazmul Haque
Batch No: 29th
Reg No: 270223
Roll No: 03
Session: 2013-2014
RMBA
Major in HRM
Date of submission: 17th
January,2015

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Student’s Declaration
I am Md. Nazmul Haque, bearing Roll No: 03, Batch No: 29th
, student of Master of
Business Administration (MBA), major in Human Resource Management, Dhaka
International University do hereby declare that the Project report titled “HRM
Practices of Chittagong Fashion Ltd” is an original and benefited work done by
me in partial fulfillment of the Master of Business Administration degree, as a part
of academic curriculum. It has not been submitted by me before for any other
degree.
I also confirm that this report is uniquely prepared by me after the completion of
two months’ work on this topic.
--------------------------
Md. Nazmul Haque
Roll No: 03
Batch No: 29th
Reg No: 270223
RMBA (Major in HRM)
Faculty of Business Studies

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Supervisor’s Declaration
I hereby declare that the concerned report entitled “HRM Practices of Chittagong
Fashion Ltd” is an original work which has been done by Md. Nazmul Haque
Roll No: 03, Batch No: 29th
, Major in HRM, Department of Business
Administration, Dhaka International University, has Completed his project under
my supervision and submitted for the partial fulfillment of the requirement of the
degree of Master of Business Administration at Dhaka International University,
Bangladesh.
I wish his prosperous future
----------------------------
Dean
Department of Business Administration

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Letter of Transmittal
15th
August, 2015
Department Of Business Administration
Faculty of Business Studies
Subject: Submission of Project Report.
Dear Sir,
I beg most respectfully to state that I have the pleasure to submit my Project report.
This Project focuses on “HRM Practices of Chittagong Fashion Ltd”. It is the
partial requirement of my Master of Business Administration program. To prepare
this report I have tried my best to make the project report meaningful and
informative. I am very glad to submit it as part of completion of my Internee with
you. I have tried my best in trying to put up a good project report with as much
information as I could gather during the short time allotted for writing the project
report.
Thanking you for your nice support and help throughout the Internee period. I am
grateful to you.
Your Sincerely
Md. Nazmul Haque
Roll No: 03
Batch No: 29th
Reg No: 270223
Master of Business Administration
Major in HRM

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Acknowledgement
First of all I would like to pay my gratitude to Almighty Allah for giving me the
opportunity to prepare my Project Report
After that I would like to pay my gratitude to my honorable Supervisor Professor
Md. Abdul Quddus for his painstaking guidance, suggestion, and all types of
support and Supervision in preparing this Project Report. He continuously
reminded me for the preparation of this Project Report.
I would also like to thank them those people who had helped me much by giving
me much information regarding my Project Report.
I would like to thank my family members as well as friends for their continuous
support and inspiration throughout the whole period of this undertaking.
Your Sincerely
Md. Nazmul Haque
Roll No: 03
Batch No: 29th
Reg No: 270223
Master of Business Administration
Major in HRM

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Executive Summary
The Readymade garments (RMG) industry of Bangladesh tells an impressive
story of our country successful transition towards as a major export-oriented
economy. Starting its journey in the late 1970s with relatively small
investment, the industry flourished in1980 and 1990 and has become the
largest industry in Bangladesh. The contributory factors of the RMG
industry in Bangladesh are global trading agreement, cheap labor cost,
government policy support and dynamic private entrepreneurship. All these
things have helped Bangladesh to gain a handsome share in the global
garments business. Bangladesh. Garments Industry also occupies a unique
position in the Bangladesh economy. It’s needless to say that It is the largest
exporting industry in Bangladesh, presently it has contributed around
81.13% of the total export earnings, surpassed $21 billion last year, 13.83%
of GDP final year 2014. At present 4536 garment factories in the country
employing more than 4 Million labors. The performance for the national
economy is satisfactory. There are many apparels company is taking
contribution to our national economy. Chittagong Fashion limited is one of
them which company’s performance is also good. From 2002 it is playing a
vital role in Bangladesh garments industry.
For the improvement of the garments industry of our country, the
government as well as the BGMEA should provide the proper HRM
practices and policy. Although Bangladesh is not developed in industry, it
has been enriched in Garment industries in the recent past years. It’s also
needless to say that Garment exports, the backbone of Bangladesh’s
industrial sector.

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Table of Contents
Point Title:- Page No
Front page 1-2
Student’s declaration 3
Supervisor’s declaration 4
Letter of transmittal 5
Acknowledgement 6
Executive summary 7
Table of contents 8-10
Chapter-01
Introduction
1.1 Introduction 13
1.2 Profile of the company 14
1.3 Background of the study 14
1.4 Objectives of the study 15
1.5 Study methodology 16
1.5.1 Primary data 16
1.5.2 Secondary data 17
1.6 Limitation of the study 17

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Chapter-02
Contribution in the national economy of Bangladesh
2.1 Contribution in the National Economy of Bangladesh 20-21
2.2 Major Exporting Destination 22
2.3 Opportunities in Global Market for RMG Industry 22-23
Chapter-03
Problems of the Garments Industry
3.1 Problems of the Garments Industry 26
3.2 Controllable factors 26-27
3.3 Uncontrollable factors 27
3.4 The Comparison of per hour’s Wages & Salaries 28-29
Chapter-04
Literature Review
4.1 Recruitment 32
4.2 Selection 32
4.3 Interview 33
4.4 Training 33
4.5 Promotion 34
4.6 Motivation 34
4.7 Services 35

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Chapter-05
HRM Practices
5.1 Human Resource Management 38
5.2 Objectives of the HRM 38-39
5.3 Features of HRM 39-40
5.4 Function of HRM 40-41
5.5 A Brief discussion about job analysis process in Garments
Industry
42-46
5.6 HRM Model 47
Chapter-06
SWOT Analysis & Findings
6.1 SWOT Analysis of Garments Industry 50-53
6.2 Findings 53-55
6.3 Questionnaires. 55-56
Chapter-07
Recommendation & Conclusion
7.1 Recommendation 59-60
7.2 Conclusion 60
7.3 References 61-62

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 Introduction:-
 1.1 Introduction
 1.2 Profile of the Company
 1.3 Background of the study
 1.4 Objectives of the study
 1.5 Study Methodology
 1.5.1 Primary data
 1.5.2 Secondary data
 1.6 Limitations of the study

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1.1 Introduction:-
Bangladesh is a developing country like other 3rd world countries. Her
economic development depends firstly on agriculture and secondly on
industry. Although Bangladesh is not developed in industry, it has been
enriched in Garment industries in the recent past years. It’s also needless to
say that Garment exports, the backbone of Bangladesh’s industrial sector. In
the field of Industrialization garment industry is a promising step. It has
given the opportunity of employment to millions of unemployed, especially
innumerable uneducated women of the country. It is making significant
contribution in the field of our export income.
The garment industry has played a pioneering role in the development of
industrial sector of Bangladesh. Though it took a rather late start i.e., in 1976
but it soon established its reputation in the world market within a short span
of time. Resultantly garment is now one of the main export items of the
country. Besides, enriching the country’s economy it has played a very
important role in alleviating unemployment. At present 4536 garment
factories in the country employing more than 4 Million labors. Most of the
garments industries are in Dhaka & Chittagong. The performance for the
national economy is satisfactory.

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1.2 Profile of the company:-
Chittagong Fashion Ltd is a well-known garment in Bangladesh. It’s
established in 2002. Md. Afzal Ahmed Bhuiyan is the managing director of
Chittagong Fashion Ltd. The office of Chittagong Fashion Ltd situates in
Tamanna complex, CB-288, Kachukhet, Cantonment, Dhaka-1206. Which
manufactures Men’s, Boy’s Dress shirt, Sports shirt, Ladies blouse and
special gift pack box and so many other products. Approximately, 600
workers work in Chittagong Fashion Ltd. Almost 4000 units are produced
by the workers of Chittagong Fashion Ltd .
1.3 Background of the study:-
MBA Project report is an attempt to provide business students an orientation
to a real life business situation in which we can observe and evaluate the use
and applicability of the theoretical concepts. As per norms, this report is the
requirement of the fulfillment of the MBA program. This report “HRM
Practices of Chittagong Fashion Ltd”. The Challenging Ahead” is the
outcome off on 1 and half months this work on Garments Industry. During
this period, my experiments had related to this field of some Garments
Industry. My honorable supervisor Prof. Md. Abdul Quddus, Dhaka
International University authorized this report to me to acquire the practical
knowledge.

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1.4 Objectives of the study:-
Effective HRM system for today’s & future in garments industry in
Bangladesh. There is a particular reason behind any work which is called
“the objectives”. So the objectives behind preparing this report are to
achieve proper theoretical and practical knowledge. The main objectives of
the studies are as follows:-
 To know the Human Resource Management Practices in garments
industry.
 To know about various human resource functions as planning,
recruitment and selection, services, motivation, promotion, interview
compensation management etc.
 Find out various problems related to the HR-department and to
suggest the way to overcome the problems.
 To know the contribution in the national economy of our country
 To know the global opportunities in Global market.
 To know their controllable and uncontrollable factors.
 To know the comparison of per-hour’s wages & salaries.
 To know about the company’s proper rules & regulations.

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1.5 Study Methodology:-
To collect data I used both secondary and primary data. This study is a
research work. So no statistical tools and technique are used here. This
study is descriptive report. Here only made a narrative description of the
collected information from Chittagong Fashion Ltd.
As a part of the Project Report program I went to this Garments Industry,
and took practical activities about human resource management of this
Garments Industry and on the basis of this activities and collected
information this report has been prepared. Simply two types of data are
found.
 1.5.1 Primary data:-
Primary data can be defined as the data collected for the first time
by the investigator. In this report, I collected the primary data by
interviewing different executives of Chittagong Fashion Ltd.
Others primary sources of information:-
 Face to face conversation with officials of HR Department.
 Data collected through observation of that company’s activity.

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 1.5.2 Secondary data:-
I collected most of my secondary data from annual report, thesis
report journal, websites etc. I have used secondary data only in the
cases where it was not possible for me to use primary data.
 Various books.
 Websites,
 Various Journals.
1.6 Limitations of the study:-
This project report may encounter the following limitation:-
 The study will be included with long time
 Lack of necessary explanation of the project report by turns.
 There is scarcity of appropriate data.
 Shortage of time
 However the topic demands deployment of huge time and resources,
which was not always in place.

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 Contribution in the National
Economy of Bangladesh
 2.1 Contribution in the National Economy of Bangladesh.
 2.2 Major Exporting Destination
 2.3 Opportunities in Global Market for RMG Industry

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2.1 Contribution in the National
Economy of Bangladesh:-
Amongst all the sectors, three sectors are contributing much in the national
economy in Bangladesh. They are the Agriculture sector, Service sector and the
Industrial sector. It’s known to all that RMG is the leading industrial sector in
Bangladesh. Garments Industry also occupies a unique position in the
Bangladesh economy. Its needless to say that It is the largest exporting industry
in Bangladesh, presently it has contributed around 81.13% of the total export
earnings, surpassed $21 billion last year, 13.83% of GDP final year 2014.. The
industry plays a key role in employment generation and in the provision of
income to the poor. The Ready-Made Garments (RMG) industry is contributing
to the Bangladesh economy in a distinctive manner. The last 20 years witnessed
unparalleled growth in this sector. It has attained a high profile in terms of
foreign exchange earnings, exports, industrialization and contribution to GDP
within a short span of time. It also plays a pivotal role to promote the
development of other key sectors of the economy like banking, insurance,
shipping, hotel, tourism, road transportation, railway container services, etc.
Thus the industry helps in the country’s social development, women
empowerment and poverty alleviation. Currently RMG earns the lion’s share of
foreign exchange earnings. Some diagrams of ratio are as followed below:-
This is a diagram which denotes the RMG Exports and Total Exports from
Bangladesh.

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Diagram of Garment Export from Bangladesh
It’s known to all that the GDP Growth rate largely depends on the three
major sectors here is a bar diagram of the ratio of Bangladesh GDP Growth
rate.

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2.2 Major Exporting Destination:-
The RMG industry of Bangladesh fully depends on the export. The major
importer of RMG products are USA and Europe. But there is other country
that has a contribution to the total RMG export. They are the USA, UK,
Canada, Australia, Belgium, Germany, Denmark, Finland, Italy, France,
Spain, Greece, Poland, Ireland Austria, Bulgaria, Netherlands, Portugal,
Sweden, Russia, Brazil, China, India, Japan, Hungary, Mexico, South
Africa, Chili, Turkey etc.
2.3 Opportunities in Global
Market for RMG Industry:-
As a developing country, Bangladesh has number of opportunities is most of
product and service sectors. And the opportunities for RMG are much higher
than any other sector. The big opportunities are:-
 Price competitiveness:- Bangladesh is experiencing a clear
competitive advantage in the price of Knitwear and Woven products
in the USA, EU and Japan markets which ultimately attract importers
to buy products Bangladesh high and high ultimately the export sales
increases.
 Expansion of Markets:- In the recent years, Bangladesh is
exporting about 80% percents of its total RMG exports to USA & EU
markets. But there are real potentially to expand the market all over
the world due to quality and price.
 Increase of sales:- A good reputation in RMG sector in global
market could make Bangladesh to see the increase of other products

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which are lower in export value. It is the influence of good reputation
of RMG products.
 Inflows of FDI:- Growing reputation in RMG sectors will make
the increase in inflows of FDI (Foreign Direct Investment) in our
country.
 Development of other sector:- Using FDI Bangladesh can
develop the promising sector like IT, seafood etc. to order earn more
foreign earnings.

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 Problems of the Garments Industry
 3.1 Problems of the Garments Industry
 3.2 Controllable factors
 3.3 Uncontrollable factors
 3.4 The Comparison of per hour’s Wages & Salaries

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3.1 Problems of the Garments
Industry:-
Bangladeshi Garments Industry besets with various problems. In recent time
it is argued that the crisis in the Ready Made Garment (RMG) Sector is not
only limited wages and allowances of the workers but also Productions and
exports of the factories have decreased the price of the apparels in the
international market. Some avoidable and unavoidable factors are
responsible for the problems of garments industry. it cannot also be denied
that there occur frequent abnormal deaths of workers in the garments
factories like Rana Plaza, Tazreen Fashions etc. Some controllable and
uncontrollable factors are give below those create the environmental
problems or so others.
3.2 Controllable factors:-
Some controllable factors of garments industry are remarked below those
problems are eradicated by any means.
 wages & Salaries
 Unskilled workers
 Job Satisfaction
 Transportation factor
 Allowances
 Baby care service
 Health
 Organizational Commitment

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 High employee turnover
 Improper working environment.
 Lack of managerial knowledge.
 Gendered division of labor.
 Unit labor cost.
 Poor accommodation facilities.
 Safety Problems.
3.3 Uncontrollable factors:-
Some uncontrollable factors of garments industry are remarked below those
problems are not eradicated by no means.
 Earthquake
 Drought
 Flood
 GSP opportunity
 Economic Crises
 Political instability
 Deprivation from Tax free Trade area

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3.4 The Comparison of per
hour’s Wages & Salaries:-
Bangladesh has emerged as the second largest exporter of readymade
garment products trailing just behind China. Here a chart is below which
denotes the comparison of per hour’s Wages & Salaries.
Country Hourly Wages
United States $8.25-14.00
United Kingdom $7.58-9.11
Venezuela $2.73
Costa Rica $2.19
Guatemala $1.21
Colombia $1.20
Honduras $1.02
Philippines $0.94-1.00
China $0.93
Peru $0.92
El Salvador $0.92
Jordan $0.74
Malaysia $0.73
Nicaragua $0.65
Bahrain $0.57
Thailand $0.56
India $0.55-0.68
Mauritius $0.55-0.65
Vietnam $0.52
Egypt $0.50-0.87

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Mexico $0.50-0.53
Sri Lanka $0.46
Pakistan $0.37
Indonesia $0.35
Cambodia $0.24
Bangladesh $0.21

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 Literature Review
 4.1 Recruitment
 4.2 Selection
 4.3 Interview
 4.4 Training
 4.5 Promotion
 4.6 Motivation
 4.7 Services

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4.1Recruitment:-
 Job Application/ Bio Data
 Appointment Letter
 Job Contract
 Increment Sheet
 Leave Record
 Age Certificate
 Performance Sheet
 Identification Card
 Photograph Etc.
4.2 Selection:-
The Selection Process typically consists of eight steps:
 initial screening interview
 completion of the application form
 emulation tests
 comprehensive interview
 background investigation
 conditional job offer
 medical/physical exam
 permanent job offer

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4.2 Interview:-
 Information collected on application forms can be highly predictive of
Successful job performance.
 Forms must be verified and continuously reviewed and updated.
 Data should be verified through background investigations.
 National origin, race, color, and disability.
 Includes statement giving employer the right to dismiss an employee
for
 Falsifying information.
 Asks for permission to check work references.
4.3 Training:-
*why do the training need?
 For developing skills
 For playing their responsibility
 To do their work correctly
 To learn about different things like product, product quality etc.
 To overcome various working complexity
 To develop their working performances.

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4.5 Promotion:-
 The workers of the garments industry are usually promoted from one
position to another position regarding their working capabilities, age,
skills, personality, well quality and so on.
 This kind of promtion generally helps the workers to be well
motivated.
 The productivity of the company may be increased by adopting the
procedure of promotion.
4.6Motivation:-
 Motivation is the willingness to do something, conditioned by this
action ability to satisfy some need.
 Mallows Hierarchy of needs theory said there are five needs. These
needs are in ascending order, basic needs, social needs; esteem needs,
self – actualization.
 McGregor proposed two alternatives sets of assumptions that
managers hold about human motivation, one basically negative, the
leveled theory X & the other basically position he leveled theory Y.
Y assumption are more than theory X & that employee motivation
would be maximized by giving workers greater job involvement &
autonomy.

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4.7 Services:-
 The garments workers are the part and parcel not only for us but also
the national economy. They render their services according to two
shifts, one is day other is night shifts. They also works for partime.
 Inspite of their well services by hard labouring they get a few amount
of salaries & wages than the other countries.
 Within their services they get the minimum days for vacation.

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 HRM Practices
 5.1 Human Resource Management
 5.2 Objectives of the HRM
 5.3 Features of HRM
 5.4 Function of HRM
 5.5 A Brief discussion about job analysis process in
Garments Industry
 5.6 HRM Model

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5.1 Human Resource
Management:-
Human Resource Management (HRM) is the function within an organization
that focuses on recruitment of, management of, and providing direction for
the people who work in the organization.
HRM is the organizational function that deals with issues related to people
such as compensation, hiring, performance management, organization
development, safety, wellness, benefits, employee motivation,
communication, administration, and selection, Interviewing, training etc.
5.2 Objectives of the HRM:-
According to Scott, clothier and Spiegel, ―the objectives of human
resource management, in an organization, is to obtain maximum individual
development, desirable working relationships between employers and
employees and employers and employees, and to affect the molding of
human resources as contrasted with physical resources‖. The basic
objective of human resource management is to contribute to the realization
of the organizational goals. However, the specific objectives of human
resource management are as follows:
To ensure effective utilization of human resources, all other organizational
resources will be efficiently utilized by the human resources.

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 To establish and maintain an adequate organizational structure of
relationship among all the members of an organization by dividing of
organization tasks into functions, positions and jobs.
 To generate maximum development of human resources within the
organization by offering opportunities for advancement to employees
through training and education.
 To ensure reconciliation of individual/group goals with those of the
organization in such a manner that the personnel feel a sense of
commitment and loyalty towards it.
 To identify and satisfy the needs of individuals by offering various
monetary and non-monetary rewards.
5.3 Features of HRM:-
Its features include:
 Organizational management.
 Personnel administration.
 Manpower management.
 Industrial Management.

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HRM is seen by practitioners in the field as a more innovative view of
workplace management than the traditional approach. Its techniques force
the managers of an enterprise to express their goals with specificity so that
they can be understood and undertaken by the workforce and to provide the
resources needed for them to successfully accomplish their assignments. As
such, HRM techniques, when properly practiced are expressive of the goals
and operating practices of the enterprise overall. HRM is also seen by many
to have a key role in risk reduction within organizations.
5.4 Function of HRM:-
The Human Resource management (HRM) function includes a variety of
activities and key among them is deciding what staffing needs you have and
whether to use independent contractors or hire employees to fill these needs,
recruiting and training the best employees, ensuring they are high
performers, dealing with performance issues and ensuring your personnel
and management practices conform to various regulations. Activities also
include managing your approach to employee benefits and compensation,
employee records and personnel policies. However they should always
ensure that employees have- and are aware of personnel policies which
conform to current regulations. These policies are often in the form of
employee manuals which all employees have. The basic functions of HRM
are planning and forecasting human resource requirements, recruitment and
selection, appraisal, evaluation and employee motivation. Key functions of
HRM are given below:-

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 Human Resources Planning
 Recruitment
 Selection.
 motivation
 Training and development.
 Performance evaluation and management.
 Promotions
 Redundancy.
 Industrial and employee relations.
 Record keeping of all personal data.
 Compensation, pensions, bonuses etc in liaison with payroll.
 Confidential advice to internal ‘customers’ in relation to problems at
work.
 Career development.
 Placement of personnel
 Competency mapping.
 Time motion study is related to HR function.
 Performance appraisal

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5.5 A Brief Discussion About job analysis
process in Garments Industry:-
(a) Job description
(b) Job specification
 The information collected under job analysis is:
 Nature of jobs required in a concern.
 Nature/ size of organizational structure.
 Type of people required to fit that structure.
 The relationship of the job with other jobs in the concern.
 Kind of qualifications and academic background required for jobs

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 Provision of physical condition to support the activities of the
concern. For example- separate cabins for managers, special cabins
for the supervisors, healthy condition for workers, and adequate store
room for store keeper.
 Advantages of job analysis:-
 Job analysis helps the personnel manager at the time of recruitment
and selection of right man on right job.
 It helps him to understand extent and scope of training required in
that field.
 It helps in evaluating the job in which the worth of the job has to be
evaluated.
 In those instances where smooth work force is required in concern.
 When he has to avoid overlapping of authority- responsibility
relationship so that distortion in chain of command doesn’t exist.
 It also helps to chalk out the compensation plans for the employees.
 It also helps the personnel manager to undertake performance
appraisal effectively in a concern.
 A personnel manger carries analysis in two ways:
 Job description
 Job specification

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Job description
 A job description is a list that a person might use for general tasks, or
functions, and responsibilities of a position. It may often include to
whom the position reports, specifications such as
the qualifications or skills needed by the person in the job, or
a salary range. Job descriptions are usually narrative, but some may
instead comprise a simple list of competencies; for instance, strategic
human resource planning methodologies may be used to develop
a competency architecture for an organization, from which job
descriptions are built as a shortlist of competencies.
 Job description is an organized factual statement of job contents in
the form of duties and responsibilities of a specific job. The
preparation of job description is very important before a vacancy is
advertised. It tells in brief the nature and type of job. This type of
document is descriptive in nature and it constitutes all those facts
which are related to a job such as:
 Title/ designation of job and location in the concern.
 The nature of duties and operations to be performed in that job.
 The nature of authority- responsibility relationships.
 Necessary qualifications that is required for job.
 Relationship of that job with other jobs in a concern.

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 The provision of physical and working condition or the work
environment required in performance of that job.
 Advantages of job description:-
 It helps the supervisors in assigning work to the subordinates so that
he can guide and monitor their performances.
 It helps in recruitment and selection procedures.
 It assists in manpower planning.
 It is also helpful in performance appraisal.
 It is helpful in job evaluation in order to decide about rate of
remuneration for a specific job.
 It also helps in chalking out training and development programmers.
 Job specification
 Also known as employee specifications, a job specification is a
written statement of educational qualifications, specific qualities,
level of experience, physical, emotional, technical and
communication skills required to perform a job, responsibilities
involved in a job and other unusual sensory demands. It also
includes general health, mental health, intelligence, aptitude,
memory, judgment, leadership skills, emotional ability, adaptability,
flexibility, values and ethics, manners and creativity, etc.

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 Job specification is a statement which tells us minimum acceptable human
qualities which helps to perform a job. Job specification translates the job
description into human qualifications so that a job can be performed in a
better manner. Job specification helps in hiring an appropriate person for
an appropriate position. The contents are:
 Job title and designation
 Educational qualifications for that title
 Physical and other related attributes
 Physique and mental health
 Special attributes and abilities
 Maturity and dependability
 Relationship of that job with other jobs in a concern.
 Advantages of job specification:-
 It is helpful in preliminary screening in the selection procedure.
 It helps in giving due justification to each job.
 It also helps in designing training and development programmers.
 It helps the supervisors for counseling and monitoring performance
of employees.
 It helps in job evaluation.
 It helps the management to take decisions regarding promotion,
transfers and
 giving extra benefits to the employees.

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5.6 HRM Model:-
According to this HRM Model, HR practices have been performed in
Garments Industry. The HR model has been given below:-
a) Quality of work life.
 Job rotation.
 Autonomy.
 Counseling.
 Recognition.
 Belongingness.
 Progress & Development.
 External award.
b) Productivity:
 Capital investment.
 Innovation.
 Learning.
c) Readiness for change

49
 SWOT Analysis & Findings
 6.1 SWOT Analysis of Garments Industry
 6.2 Findings
 6.3 Questionnaires.

50
6.1 SWOT Analysis of Garments
Industry:-
 Strength:-
 Considerable Qualified/keen to learn workforce available at low labor
charges.
 GSP facility up to 2015 (renewed recently).
 Energy at low price
 Easily accessible infrastructure like sea road, railroad, river and air
communication.
 Accessibility of fundamental infrastructure, which is about 3 decade
old, mainly established by the Korean, Taiwanese and Hong Kong
Chinese industrialists.
 FDI is legally permitted.
 Moderately open Economy, particularly in the Export Promotion
Zones.
 GSP under EBA (Everything But Arms) for Least Developed Country
applicable (Duty free to EU).
 Improved GSP advantages under Regional Cumulative.
 Looking forward to Duty Free Excess to US, talks are on, and appear
to be on hopeful track.
 Investment assured under Foreign Private Investment (Promotion and
Protection) Act, 1980 which secures all foreign investments in
Bangladesh.
 Overseas Private Investment Corporation, USA insurance and finance
agendas operable.

51
 Bangladesh is a member of Multilateral Investment Guarantee Agency
(MIGA) under which protection and safety measures are available.
 Adjudication service of the International Centre for the Settlement of
Investment Dispute (ICSID) offered.
 Excellent Tele-communications network of E-mail, Internet, Fax, ISD,
NWD & Cellular services.
 Weakness of currency against dollar and the condition will persist to
help exporters
 Bank interest@ 7% for financing exports
 Convenience of duty free custom bonded w/house
 Readiness of new units to enhance systems and create infrastructure
accordant with product growth and fast reactions to circumstances
 Weakness:-
 Lack of marketing tactics
 Absence of easily on-hand middle management
 A small number of manufacturing methods
 Low acquiescence: there is an international pressure group to compel
the local producers and the government to implement social
acquiescence. The US GSP may be cancelled and purchasing from US
& EU may decrease significantly
 M/c advancement is necessary. The machinery required to assess add
on a garment or increase competence are missing in most industries.
 Lack of training organizations for industrial workers, supervisors and
managers.
 Autocratic approach of nearly all the investors
 Fewer process units for textiles and garments

52
 Sluggish backward or forward blending procedure
 Incompetent ports, entry/exit complicated and loading/unloading takes
much time
 Speed money culture
 Time-consuming custom clearance
 Unreliable dependability regarding Delivery/QA/Product knowledge
 Communication gap created by incomplete knowledge of English
 Subject to natural calamities
 Opportunity:-
 EU is willing to establish industry in a big way as an option to china
particularly for knits, including sweaters
 Bangladesh is included in the Least Developed Countries with which
US is committed to enhance export trade
 Sweaters are very economical even with china and is the prospect for
Bangladesh
 If skilled technicians are available to instruct, prearranged garment is
an option because labor and energy cost are inexpensive.
 Foundation garments for Ladies for the FDI promise is significant
because both, the technicians and highly developed machinery are
essential for better competence and output
 Japan to be observed, as conventionally they purchase handloom
textiles, home furniture and garments. This section can be encouraged
and expanded with continued progress in quality.

53
 Threat:-
 The exporters have to prepare themselves to harvest the
advantages offered by the opportunities.
 Unless new strong market is explored in home or abroad, any non-
cooperation from USA & EU may jeopardize the whole
Bangladesh RMG export business & consequently the textile
manufacturing.
 The poor political culture and violence is one of the most
important threats.
 Growing terrorism or its false, amplified propaganda is also a big
threat.
 The type of labor and political anarchies of the recent days if
prevails in the future, Bangladesh may lose the business in the
way Sri Lanka has lost.
 Sudden price hike of cotton and yarn in the global market may
push Bangladesh to a very awkward situation to devastate the
business.
6.2 Findings:-
 The major strength for the garments sector of Bangladesh is the low labor
charge, free economy, infrastructural support, improved GSP, low energy
price and so on. Major weakness of this sector is lack of marketing tactics,
small number of manufacturing method, low acquiescence, fewer process
units for textile and garments, risky working environment etc. There are
also some opportunities associated with threat that can be captured by the
sector to acquire more profit.

54
 The major importer of RMG products are USA and Europe. But there is
other country that has a contribution to the total RMG export. The other
countries are Belgium, Canada, France, Germany, Netherlands and more.
 The RMG industry not only propelled the growth of spinning, weaving,
dyeing and finishing industries, production of accessories and spare parts,
but also rendered large externalities by contributing to other economic
activities in such areas as banking, insurance, real estate, packaging, hotels
and tourism, recycling, consumer goods utility services and transportation.
RMG sector has overwhelmingly high backward linkage with textile
sector providing fabrics, yarn and other ancillaries. It has important
backward linkage with utilities such as electricity, gas, and machinery and
spare parts supplying.
 The basic problem of the ordinary workers and labor movement in garments
sector are low scope of operation, non-recognition of legally registered
unions at the factory level, long working hours and practically no weekly
holiday that left hardly any time for workers to participate union activities,
non-compliance of existing labor laws, high occupational accidents etc. On
the other hand, creation of yellow trade unions by the garments owners,
imposition of self-made code of conduct, apathy to active social dialogue
made ordinary workers and trade unions more vulnerable.
 80% of garments workers are women. In the early stage they could be paid
much less than men with equivalent skills and be treated as a largely

55
informal workforce to whom employers had no obligation aside from
paying their wages. Today, things are beginning to change. Female
education has gone up steadily; there has been widespread dissemination
of ideas about women’s rights through non-governmental organizations
(NGOs), state pronouncements and the media, while microfinance has
increased and diversified employment opportunities in the countryside.
Women enter the industry not just because of poverty, but also for the
prospect of improving their family’s standard of living, sending their
children to school, saving for their dowries or supporting ageing parents.
They have been able to leverage their earnings into increased decision-
making power within their families and independent purchasing power in
the market place. They have also become increasingly visible in collective
actions in support of their rights, which have linked local and global
movements.
6.3 Questionnaires:-
1. Should every garment company obligatory the practice the HRM?.
 Yes
 No
2. Should every garment take the training program for workers?
 Yes
 No

56
3. Should they provide other recreational & cultural program for them?.
 Yes
 No
4. Ought to the Govt. be conscious about aids of different types of victims?
 Yes
 No
5. As a large sum of foreign currency come from abroad, so should the
Government as well as the BGMEA take proper steps for paying the proper
Wages and Salaries?.
 Yes
 No
6. Should the garments industries provide moderate atmosphere for the workers ?
 Yes
 No
7. Should the government as well as BGMEA provide the transportation, and
Others opportunities?.
 Yes
 No
8. Should the workers become self- fluent for getting their rights ?.
 Yes
 No

58
 Recommendation and Conclusion
 7.1 Recommendation
 7.2 Conclusion
 7.3 References

59
7.1 Recommendation:-
 The garment industry should be encouraged to raise its managerial &
technological standards. Consultants & cad companies employed have
effective services offer. But as conventionally employed their resources
would be inadequate & means of more rapidly tilling available knowledge
need to be developed. This approach should be adopted on a sufficient
scale to rise the productivity of the industry should be adopted on a
sufficient scale to rise the productivity of the industry during the initial
period of accelerated development work towards improved sewing
systems.
 The garments industry should be encouraged to install available
machinery, where it can be shown to be economic, in order to strengthen
industry confidence in it to maintain the interest of potential manufactures
in this area.
 Co-operative investigating by garment production & management for
manufacturing should be encouraged into the optimum mode of
employment of the machinery type under development, with a view to
defining production systems based on these machines rather that their
potential for substituting existing operations.
 Provide sound Compensation Package.
 Provide appropriate Motivation.
 Making Work environment more friendly to work happily under
pressure.

60
 Orientation Programs needed by immediate superiors not with much
broader side.
 Communication should be always with immediate superior who will
recommend his/her superior. That means maintaining hierarchy.
 Provide transport facility for technical employees or provide housing
facility.
 Making people understand that they are part of the production process,
so they are very important to Organization & Economy of Country for
taking from them the best performance.
7.2 Conclusion:-
I want to recommend that in this garments should expand a human resource
management. This department controls that kind of factor. The HRM section
reviews the job design, compliance issue, productivity time & other relative
importance.
The industry can provide extra facility or the employee those who are
wanting to learning for something.
Industry can also collect the graduates & other shill resources those who are
educated in this sector. The educational institute & the industry can provide
the student for research & internship serve in this sector. Those kinds of
activity help the apparel industry for upgrades in every time & match with
the changing fashion business world.
In the production level we can apply the job rotation for reduce the
boringness from the inner side of the worker. Effective communication &
active motivation create a smart industrial environment in the garments.

61
7.3 References:-
 Internet websites
www.google.com
www.wikipedia.com
www.bgmea.com
www.assignmentpoint.com
 Newspapers
 The Economist
 BBC News
 The Daily Stars
 Book: Human Resource Management By John Raven Edition_10th
.
 5.http://www.assignmentpoint.com/business/internship-report-on-
garments-industry-of-bangladesh-the-challenging-ahead.html
 6.http://www.assignmentpoint.com/business/economics/report-on-the-
contribution-of-garments-industries-in-bangladesh-economy.html
 7.https://www.academia.edu/7557900/RMG_Ready-
made_Garments_Industry_in_Bangladesh_Effects_of_GSP_Facility_i
n_EU_and_USA
 8.http://www.newstoday.com.bd/index.php?option=details&news_id=
2347128&date=2013-06-07

62
 9.http://www.assignmentpoint.com/science/textile/ready-made-
garments-industry-bangladesh.html
“The end”

Hrm practices of chittagong fashion ltd

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