Report

On

HR Department training Development of

Prime Bank

Prepared by:

Sadia sharmin

ID:12302009

Subject:ART204

Section:C

Prepared For:

Tanvir H Dawn

Faculty of CBA College of Business Administration

Submission date: 14th Nov, 2015

1

Letter of transmittal

To

Tanvir H Dawn

Faculty, College of Business Administration

Subject: Letter of transmittal for improving quality and productivity.

Sir,

It delights that we presenting our group work on improving productivity and quality of Prime Bank Ltd. It was given as task. We complete our task within the time.

I, face so many problems as such as computer virus, internet accesses problem in our university lab. There are so many limitations although we can complete our task for this we group members are so grateful to authority.

This is particular in nature. In case of any doubt we the people undersign on this presentation remain stand by to clarify.

Thank you very much sir

Name:Sadia Sharmin

, ID # 12302009

Sing---------

2

Students Declaration

I am the student of college of business administration, International University of Business Agriculture And Technology, Uttara, Dhaka 1230 declared that this was assigned to us so we try to complete it within the time. We declared that it’s our own writing; we the groups of students under signing are responsible for any kind fault in regard of this report.

Name:Sadia Sharmin

, ID # 12302009

3

Acknowledgement

As a student of university this is our 1st project work, when we are in progress of our project work achieve different type of experience. We think it would be help full for next project as like as in also our professional life. We all the member of our team very much great full to our honorable course instructor Tanvir H Dawn for giving us a chance to do a project work.

I am also great full to the authority of our university for their co-operation in regard of our project work.

Though the internship program has to be done individually in a sense of completion of the credit

hour but it is quite impossible to do alone without the sincere and outmost cooperation of some

individuals. It is a very great and unique pleasure to me that I have got a chance to thank some

individuals for their help and encouragement to make the internship successful.

At first, I must take this opportunity to thank Mr. Kamruzzaman Khairul Kabir, Head of Human

Resources Training and Development Centre of Prime Bank Limited, for giving me the

opportunity to complete my internship requirement in their organization.

I would like to express my respected appreciation to my faculty advisor Nusrat Hafiz, Lecturer,

MBA Program, BRAC Business School, BRAC University. Her constant guidance and advice

played the key role in making this report a success. She always gave me her suggestions that

were crucial in making this report as flawless as possible.

My heartiest gratitude to all the Employeesof Prime Bank HR Training and

Development Centre, Head Office Specially--

. 1. KamruzzamanKhairulKabir, Senior Vice President and Head of Prime Bank HRTDC2. Shahnaz Akhter, SEO3. EimanFergeion, SO.4. Sharmin Jahan, Officer

4

Table of contentDescription Page

NoPreparatory Part

Outer PageTitle PageLetter of TransmittalStudent declarationAcknowledgementTable of contentExecutive Summary

iiiiiiivvvi-viiviii

Introductory Part (PART1) 2-5

1.1 Introduction1.2 Objective1.2.1 Broad Objective1.2.2 Specific Objective1.3 Methodology1.3.1 primary data1.3.2 secondary data1.4 Sampling plan

22223333

5

1.5 Scope of the study1.6 Limitation of the report1.7 Limitation of the study

445

Organizational over view (PART2) 7-232.1 Historical Back ground2.2 Mission2.3 Vision2.4.Corporate Philosophy2.5.Competitors Analysis2.6.SWOT Analysis2.7.Marketing of prime bank2.8. Market Penetration 2.9.Market development2.10.Marketing Mix Adopted by the Prime Bank2.11.Financial Statement (2011-2012)2.12.Corporate Milestones2.13.Board Of Directors

777899-1111121212-1718-2021-2223

Prime Bank HR Training and Development Program(PART 3)

3.1.HR Vision3.2.HR Principals3.3.HR Message to the Ambitious3.4.Functions and Activities of HR 3.4.1.Core functions of HR 3.4.2.There are seven main functions of HR3.5.Role Of training3.6.Methods used in Management Development3.7.Training & development policies of Prime Bank Limited3.8.Training policies of Prime Bank Limited are given below3.9.Identifying Training Needs at PBL3.10.Training methods of Prime Bank Ltd3.11.Research on employee training need3.12.Findings

2525252526-27272829303031-323334-4546

PART-4Conclusion and Recommendations

ConclusionRecommendationsReferences

484950

6

Executive summary

In the backdrop of economic liberalization and financial sector reforms, a group of highly successful local entrepreneurs conceived an idea of floating a commercial bank with different outlook. For them, it was competence, excellence and consistent delivery of reliable service with superior value products. Accordingly, Prime Bank was created and commencement of business started on 17th April 1995. The sponsors are reputed personalities in the field of trade and commerce and their stake ranges from shipping to textile and finance to energy etc.

As a fully licensed commercial bank, Prime Bank is being managed by a highly professional and dedicated team with long experience in banking. They constantly focus on understanding and anticipating customer needs. As the banking scenario undergoes changes so is the bank and it repositions itself in the changed market condition.

Prime Bank has already made significant progress within a very short period of its existence. The bank has been graded as a top class bank in the country through internationally accepted CAMELS rating. The bank has already occupied an enviable position among its competitors after achieving success in all areas of business operation.

Prime Bank offers all kinds of Commercial Corporate and Personal Banking services covering all segments of society within the framework of Banking Company Act and rules and regulations laid down by our central bank. Diversification of products and services include Corporate Banking, Retail Banking and Consumer Banking right from industry to agriculture, and real state to software.

Prime Bank, since its beginning has attached more importance in technology integration. In order to retain competitive edge, investment in technology is always a top agenda and under constant focus. Keeping the network within a reasonable limit, our strategy is to serve the customers through capacity building across multi-delivery channels. Our past performance gives an indication of our strength. We are better placed and poised to take our customers through fast changing times and enable them compete more effectively in the market they operate.

7

Introductory Part

PART 1

8

1.1. Introduction

Prime Bank, since its beginning has attached more importance in technology integration. In order to retain competitive edge, investment in technology is always a top agenda and under constant focus. Keeping the network within a reasonable limit, our strategy is to serve the customers through capacity building across multi-delivery channels. Our past performance gives an indication of our strength. We are better placed and poised to take our customers through fast changing times and enable them compete more effectively in the market they operate.

1.2 Objective of the Report

1.2.1.Broad Objectives: The main objective of this report is to learn about Human Resources Management practices

and policies of Prime Bank and the study is to illustrate the “Development program of Prime Bank Limited”.

1.2.2.Specific objectives are:

To know Human Resources Planning practices of the bank.

To learn about recruiting and selecting procedure of the bank.

To identify training and development methods applied in the bank.

To know performance management practices and compensation practices in the bank. To know about the training and development policy Primes of Bank Limited. To identify the process of need assessment of training development program of Prime

Bank Limited. To identify the methods followed by Prime Bank Limited for training &

development program. -To know the attitude of employees toward the training Program of Bank Limited. -To recommend suggestions for further development.

9

1.3 Methodology

In order to conduct such a study the report follows some specific methods. The report is descriptive in nature. Data were collected from both primary and secondary sources.

1.3.1.Primary data:-It was collected through questionnaire which contains questions that were only close ended. I have collected the Primary Data for my study by utilizing the quest and interview methods.

1.3.2.Secondary data:-❖ These data are collected from published sources s Magazines, several books, and also

from the help of w and other sources. Like: Prime Bank Limited

❖ Website: www(.prime bank.com.bd).

❖ Annual report of Prime Bank Limited year:( 2011-2012)

1.4.Sampling plan:-

Sampling plan is a definite plan for obtaining a sample for given population.Population: A group of individuals or items that process similar characteristics from which data can be and analyzed is called population. Sample unit: The sample unit of the survey, employee and executives of Prime Bank Ltd.

Sampling procedure: Non-probability convenience sampling method is used in the survey. Sample size: The sample size was 10 employees.

10

1.5. Scope of the Study

This report has been prepared through extensive discussion with bank employees and with the clients. Prospectus provided by the bank also helps to prepare the report. At the time of preparing the report, I had a great opportunity to have an in depth knowledge of all the banking activities practiced by the Prime Bank Limited.

1.6.Limitations of the report:-

Training and development program assessment requires depth theoretical knowledge about the topic. The major limitations of this study. The other limitation are:

● Major limitation of this report is time constraint

● While collecting data, they did not disclose information due to the confidentially of the organ

11

Md. Milon Miah SVP

Md Nasim Gani FAVP

Kazi Wohidul Hoque SEO

Md. Taheruzzaman EO

Md. Selim Reza Officer

Md. Tanvir Hossain Officer

Ohidul Hoque Officer

Suvra Das JO

Md. Forhad Hossain JO

Sree Narayan Debnath JO

● Every organization has some secrecy, which cannot should not be disclosed to the outsider. So I limitation to enter into the affairs of the organization depth.

1.7. Limitations of the Study

The officers are very co-operative but they are too busy to give me time to get knowledge about practical activities. Moreover they have to deal in a very competitive environment based on money related activities. I have to prepare this report alone. Every task has some limitations. I faced some usual constraints during the course of my internship. These are as follows:

Short of time:

I had to complete this report within a shorter period of time. So the time constraint of the study hindering the course of vast area and time for preparing a report within the mentioned period is really difficult.

Busy working environment:

The officials had some times been unable to provide information because of their huge routine work.

Lack of sufficient well informed officials:

Many officials of the branch are not well informed about different systems of Exim bank. They know but less. I had to face much difficulty to collect this information.

Insufficient data:

Some desired information could not be collected due to confidentially of business

12

Organizational over view

( PART2 )

13

2.1.Back Ground of the history:

Prime Bank Limited is a private commercial bank in Bangladesh. It was established on April 17, 1995with Tk.1000 million of authorized capital & Tk. 100 million of paid up capital by a group of successful entrepreneurs. . It is now one of the banks in Bangladesh which follows international standard in banking and finance.

Prime Bank was created and commencement of business started on 17 April 1995. The sponsors are reputed personalities in the field of trade and commerce and their stake ranges from shipping to textile and finance to energy etc.

Prime Bank offers all kinds of Commercial Corporate and Personal Banking services covering all segments of society. Diversification of products and services include Corporate Banking, Retail Banking and Consumer Banking right from industry to agriculture, and real estate to software.

Prime Bank is the title sponsor of the 2013 edition of Bangladesh Premier League cricket tournament.

Islamic Banking operations of Prime Bank Limited started in the year 1995 through the opening of Islamic banking branch at Dilkusha, Dhaka.

Operations of Islamic banking branches are coordinated by Islamic Banking Division at Head Office and supervised by Prime Bank Shari’ah Supervisory Committee.

2.2.Our Vision

To be the best Private Commercial Bank in Bangladesh in terms of efficiency, capital adequacy, asset quality, sound management and profitability having strong liquidity.

Slogan:

―A Bank with a difference

14

2.3.Our Mission

To build Prime Bank Limited into an efficient, market-driven, customer focused institution with good corporate governance structure. Continuous improvement of our business policies, procedure and efficiency through integration of technology at all levels.

2.4.Corporate Philosophy

2.4.1.For our Customers

To provide the most courteous and efficient service in every aspect of its business. To be innovative in the development of new banking products and services.

2.4.2.For our Employees

By promoting their well-being through attractive remuneration and fringe benefits.

By promoting good staff morale through proper staff training and development, and provision of opportunities for career development.

2.4.3.For our Shareholders

By forging ahead and consolidating its position as a stable and progressive financial institution.

By generating profits and fair return on their investment.

2.4.4.For our Community

By assuming our role as a socially responsible corporate citizen in a tangible manner By adhering closely to national policies and objectives thereby contributing towards the progress of the nation.By upholding ethical values and best practices.

Constantly seeking to improve performance by aligning our goals with stakeholders expectations because we value them.

2.4.5.Our Efforts are Focused

15

On delivery of quality services in all areas of banking activities with the aim to add increased value to shareholders investment and offer highest possible benefits to our customers.

2.5.Competitors Analysis:

Prime Bank was going through a growth period, the general banking industry had been experiencing tougher competition. Competitors were increasingly offering lower interest rates on loans and higher yields on savings accounts and certificates of deposit. Also, Prime Bank was experiencing growing pains, and something needed to be done soon or it would begin losing customers to competition. The board, headed by James Rogers, decided to develop amore aggressive strategy for Prime Bank. While many of its competitors were competing on cost, the board decided that Prime Bank should focus on customer service in order to differentiate itself from the competition. The bank had already begun moving they have many competitors like Bank Asia, HSBC, City Bank, Trust Bank etc

2.6.SWOT Analysis

SWOT analysis enables an organization to have a comprehensive insight about its current position in the industry compared to the competitors. It provides the organization a scope to improve strategically its position in the market. Here, the internal strengths and weaknesses of Prime Bank Limited as well as the external opportunities and threats are discussed.

2.6.1.Strengths:

Good Customer Service: Prime Bank Limited provides quality services to the clients compared to its other contemporary competitors. The bank has a very good relationship with its customers. The bank believes in maintaining personal relationship with the customers. One of the major goals of this bank is to build long-term relationship with the customers and to create value for them.

Innovative Products: Prime Bank Limited has offered various kinds of deposit schemes by which people have opportunity to save their small money and bank is able to earn more for

16

themselves for their clients. Comparatively Prime Bank Limited offers more number of deposit schemes to customers.

Efficient Administration: Prime Bank Limited has an efficient administration. The work is done in a timely and systematic manner for which the efficient administration is responsible. There is close relationship between the employees and management though the chain of command is maintained strictly. Overall, there is a good balance between the administration and the employees.

Capital Adequacy: Prime Bank Limited is maintaining a strong capital base. By the end of December 2007, the capital adequacy ratio was 11.50%. The bank has now increased its authorized capital to 4000 million for its expansion program.

2.6.2.Weakness:

Technology: One of the major weaknesses of Prime Bank Limited is the technology used by the bank. With the change of time, technological advancement is essential to survive in the competition.

Promotion: When an employee gets a promotion to the next level, he/she gets more compensation. Prime Bank Limited is regular in giving promotion but the employees get later effect of this promotion.

Training : Prime Bank Limited has its own training institute PBTI (Prime Bank Training Institute) to strengthen the capabilities of human resources. However, there is a lack of specific training for specific jobs. As a result, the employees have to learn things from the job by doing it practically.

2.6.3. Opportunity:

Branch Expansion : Prime Bank Limited is growing quickly all over the country. Besides expanding in the urban areas, Prime Bank Limited has prospects to open more branches that will eventually enhance the government’s effort at receiving the rural economy as well as reaching more people by better service.

Training Facility : Prime Bank Training Institute (PBTI) is supporting the bank by offering in house training courses, workshops and seminars. As the bank has its own training institute to enhance the capability of human resources, Prime bank Limited can use this opportunity to train their employees in specific areas and create specialized and expert people for the bank.

Banking Software: Quality service providing is a major goals of Prime bank limited. Though Prime Bank limited is still lagging behind in upgrading their software system, the bank has the prospect to select high quality banking software, which will make the banking operations easier and smooth.

17

2.6.4. Threats:

Level of Competition:

Competition is always a major threat for any organization. In recent years, the number of private bank is increasing. These banks always pose a threat for others by coming up with new product line, innovative technology, quality services, etc. Thus, the level of competition rises and creates threats for Prime Bank Limited.

Technological Advancement: With time, technology is getting advancement and most of the private banks are upgrading their operating system to survive in the industry. Prime bank Limited is lagging behind in this department and still mostly dependent on manual work rather than technology. Advancement of technology is posing great threat for Prime bank Limited.

2.7.Marketing of prime bank

Marketing is a total system of business activities designed to Plan, Price, Promotion and distribution satisfying goods and services to present and potential customers. According to the

18

official definition of the American Marketing Association Marketing is the performance of Business activities that direct the flow of goods and services from producer to customer or user.

The concept of Banks Marketing has been defined by various Banks Marketers as that part of management activity that seeks to direct the flow of banking service profitability to selected customers. The adoption of the marketing concept will recognize that Banks Customers are changing in terms of their wants, needs; desires, expectations, and problems Banks must define these in explicit terms and then evaluate their offering in customer’s terms. That is satisfying customers’ needs at a profit to the Banks.

2.8. Market Penetration

Offering more existing service to existing customer or client, that is market penetration Banks are offering more service to existing customers.

2.9.Market development

Offering more existing service to new client that is market development tries to attention new client.

2.9.1Service/ Product Development

Development New services/ Products to existing customer what is service/ product development. Banks are following this strategy.

2.9.2.Diversification

Develop new service for new customers, that is, diversification. Bank has more diversify products to new customer.

2.10.Marketing Mix Adopted by the Prime Bank

Marketing mix is the mixture of controllable marketing variables that the firm uses to pursue the sought level of sales in the target market. We can say that the 4P’s are interrelated and must be blended into one integrated whole to satisfy some target markets needs and performances. So, marketing mix is a set of product, price, promotion and place which are interrelated.

2.8.1.The Banking Product

The products of Banks are essentially services. Any satisfaction the customer gets from the performance of the service rather than from the ownership of goods. Banks are in the Business of marketing cash security, cash accessibility, monetary transfers and time to enable customers wants to be satisfied to day without waiting until tomorrow when their own savings are higher.

19

So, Banking product means services, which are able to satisfy the present and potential customers. Banks offer the following services. 

a)   Deposits 1.     Current Account 2.     Saving Account 3.     Short term deposit 4.     Fixed deposit receipt 5.     Ajibon pension scheme 6.     Double benefit scheme 7.     Mashik munafa prakalpa 8.     Special savings scheme b)   Credit facilities 1.     Cash  credit (Hypo) 2.     Project Loan 3.     Working capital loan 4.     Export loan 5.     Commercial loan 6.     Small and Cottage industry loan 7.     Lease finance 8.     Staff loan 9.     Various credit scheme

I. Consumer credit scheme II. Small loan project III. Doctors credit scheme IV. Rural credit scheme

c)   Foreign service (Export, Import) d)   Banks Remittance (DD, TT)

Product Strategy

Customer Product Existing NewExisting Market Penetration Market Development

New Service/ Product Development Diversification

There are four alternative planning product strategies.

Exchange;

Non Resident Foreign Currency Deposit Account(NFCD) Foreign Currency Deposit Account

Savings Scheme:

Monthly Savings Scheme(Money Grower)

Monthly Income Scheme(Steady Money)

20

Double the deposit in 6 years (Super Savings)

10 years deposit-more than triple (Multiples Savings)

Education Savings Scheme

Bank emphasizes on non-fund business and fee based income. Bid bond/ bid security pew be issued at customer’s request. Prime Bank is posed to extend L/C facilities to its importers /exporters through lishment of correspondent relations and Nostro Accounts with leading banks all fcier the world. Moreover, Consumers can deposit their Telephone bill of Grameen Rone in all the branches except Motijheel and the consumers of Pallid Buddutsomityrf Gazipur can deposit their electricity bill to Gazipur branch.

E-CASH/ ATM SERVICE

The bank is currently providing Credit Card Service (MasterCard) to the privileged mers of the bank in collaboration of Prime Bank. Floating VISA card for both >it and Credit card service is under process.

2.8.2.The Banking Price

Banks interest rate means Banking Price. Price is important since it represents the only element of marketing mix that creates revenue. The Banking system does not in fact price all its services. Since some are offered free to customers. The most important prices in the Banking system relate to interest rates. The government controls basic interest rates.

BANK provides various interests to deposits and receiving interest from various creditors which are showed in the table:

Types of Product/service Rate of interestCurrent account 0%Saving account 6.5%Short term deposit 6.0%Fixed deposit receipt 7 to 10%Cash credit loan (Hypo) 14.5%Project loan 14.5%Working loan 14.5% - 15%Various credit scheme 15%Consumer Credit Scheme 14.5%Small loan scheme 14.5%

21

SOD Against Earnest Money 14.5%SOD Against PAD 14.5%SOD Against LTR 14.5%SOD Against SS 14.5-15%SOD Against work order 14.5%SOD Against SP 12.5%Banks Remittance (DD. TT) 0.1%

2.8.3.The Banking Promotion

The term promotion is used to refer to the use of persuasive information which in conjunction with other elements of marketing mix, relates to the target market. The Banks has to decide how information about the organization and its services will be disseminated. Four elements of the marketing communications mix are generally recognized.

2.8.4.Place (The Banking channel of distribution

Channel of distribution performs all of the activities to move a product and its title from production to consumption. Some private Banks Ltd. in Bangladesh are following channel of distribution, which are shown below:

Some of the private Banks Limited in Bangladesh are using credit cards, Banks branch etc. to provide Banks service to customer. But Bank provides their service through Bank branch. The branches of prime in Dhaka are following-

Adamjee EPZ BranchAddress: Adamjee EPZ , Holding # 4

Siddirganj, NarayanganjPhone: (02) 7692025-26, 7692024

Fax: (02) 7692027Swift: PRBLBDDHAEZ

2.

Asad Gate BranchAddress: Family World Tower, 2/6,

Sir Sayed Road, Ward # 42, Mohammadpur (Mirpur Road), Dhaka

Phone: (02) 9125400,8142106,8142134

Fax: (02) 9122640

3. 4.

22

Ashulia BranchAddress: Sherif Mansion (1st floor),

Diakhali, Jamgora Bazar, Ashulia, Savar, Dhaka

Phone: (02) 7788290, 7788326, 7788325

Fax: (02) 7788291

Banani BranchAddress: House # 62, Block # E, Kemal Ataturk Avenue, Banani,

Dhaka-1213Phone: (02) 8815754, 9889868

Fax: 02-8853616Swift: PRBLBDDH020

5.

Banasree BranchAddress: Arcadia (Ground Floor and 1st Floor), Plot No.-14, Block No.-C,

Main Road, Banasree, Dhaka.Phone: (02) 8399548, 8399591

Fax: (02) 8399547

6.

Bangshal BranchAddress: 43/44 Malitola, North South

Road, Bangshal, Dhaka-1100Phone: (02) 9561501, 7123480,

7113310Fax: 7175185

Swift: PRBLBDDH026

7.

Baridhara BranchAddress: Concord I-K Tower (1st Floor) Plot# 02, Block# CEN(A)

North Avenue, Gulshan-2 Dhaka-1212Phone: (02) 9850376, (02) 9850392,

01730781181 (HOB)Fax: (02) 9850384

8.

Bashabo BranchAddress: Shapnil (2nd & 3rd Floor),

60-61 South Bashabo, DhakaPhone: (02) 7219201, Direct: (02)

7219206Fax: (02) 7219205

9.

Bashundhara BranchAddress: Baitul Aman Tower (1st

Floor), Boshundhara Project, Block-B, Plot# 236, P.S-Cantonment, Dhaka

Phone: PABX : (02) 8845214, 8845213, Direct : (02) 8845215

Fax: (02) 8845214

10.

Bhairab BranchAddress: 181, Tin Potty Road, Bhairab Pawrashava, Bhairab,

KishoregonjPhone: PABX : 02-9470723, 9470771

Fax: 02-9471755

11.

Bijoy Nagar Branch

12.

Boalmari Branch

23

Address: Akram Tower (1st floor), 15/5, Bijoy Nagar (Sayed Nazrul

Islam Saroni), Dhaka-1000Phone: (02) 9335762, 9335732,

9334123Fax: 02-9332639

Address: Azahar Tower, Holding 503, Station Road, Ward # 03, Boalmari,

FaridpurPhone: 06324-56132, 06324-56130

Fax: 06324-56139

13.

Damudya BranchAddress: Holding # 264 (1st & 2nd floor), Ward # 8, Sonali Bank Road,

Damudya, ShariatpurPhone: (06023) 56396

Fax: (06023) 56390

14.

Dhanmondi BranchAddress: Momtaz Plaza (1st floor),

House No # 7, Road No # 4, Dhanmondi R/A, Dhaka

Phone: (02) 8622304, 9662704Fax: (02) 9662705

15.

Elephant Road BranchAddress: Ananta Plaza, 136, Elephant

Road, Dhaka-1205Phone: (02) 9662776-7, 9673783

Fax: 88-02-8622591Swift: PRBLBDDH011

16.

Faridpur BranchAddress: KMA Arcadia (1st floor), Holding # 60/116(A), Moirapotty,

FaridpurPhone: (0631) 65133

Fax: (0631) 65128

17.

Foreign Exchange BranchAddress: Al-Haj Mansion, 82, Motijheel C/A, Dhaka -1000

Phone: (02) 9551682, Direct: (02) 7161146

Fax: 88-02-9553078Swift: PRBLBDDH019

18.

Ganakbari BranchAddress: Somsher Plaza (1st Floor),

Balibhadra Bazar Bus Stand, Dhamsona, Ganakbari, Savar, Dhaka-

1340Phone: (02) 7789379, 7788100

Fax: 02-7789378Swift: PRBLBDDH014

19.

Gareb-E-Newaz Avenue BranchAddress: Gareb-E-Newaz Branch

20.

Gulshan BranchAddress: Plot # 01, Block # CEN(H),

24

Holding # 1, Gareb-E-Newaz Avenue Sector # 11, Uttara R/A, DhakaPhone: (02) 8950997, 8991781

Fax: (02) 8931687

Road # 109, Gulshan Avenue, Dhaka-1212

Phone: (02) 9886171, 8815885Fax: 02-9884977

Swift: PRBLBDDH016

2.11.Financial Statement( 2011-2012)

Key Financial Data & Key Ratios - PBL

Particulars 2010 2011 2012 2013 2014 Operating Performance (Income Statement) Interest income 12,147 16,709 22,822 22,011 18,446 Interest expenses 7,824 12,648 17,410 17,678 15,574 Net interest income 4,323 4,061 5,411 4,332 2,872 Investment income 2,632 4,157 4,633 5,583 6,194 Commission, exchange and brokerage 2,262 2,689 2,429 2,155 2,033 Other Operating Income 579 652 1,018 813 806 Operating Income 9,795 11,559 13,492 12,883 11,906 Operating expenses 3,618 4,132 4,941 5,409 5,750 Earning before interest, depreciation and tax 13,643 19,666 23,024 21,422 19,187

 Profit before provision and tax 6,177 7,427 8,551 7,474 6,157 Provision for loans and assets 540 661 3,216 4,029 2,877 Profit after provision before tax 5,637 6,766 5,335 3,445 3,280 Tax including deferred tax 2,535 3,132 2,636 1,616 887 Profit after tax 3,102 3,634 2,699 1,829 2,393

 Balance Sheet (Financial Position) Authorized capital 10,000 10,000 25,000 25,000 25,000 Paid-up capital 5,776 7,798 9,358 10,293 10,293 Total shareholders' equity 16,908 19,095 20,787 23,030 24,461

 Deposits 124,574 159,816 182,053 201,907 204,838

 Long-term liabilities 47,918 63,379 84,827 91,424 104,040

 Loans and advances 116,057 138,848 160,890 153,589 147,367

 Investments 20,484 39,172 49,670 56,940 72,642 Property, Plant and Equipment 1,695 3,975 4,363 6,407 6,613

25

 Earning assets 137,577 179,537 212,204 211,399 221,521

 Net current assets 7,349 2,262 2,735 15,023 21,064

 Total assets 154,342 199,950 236,833 243,869 254,912

 Total liabilities 137,434 180,856 216,046 220,839 230,451

 Current ratio 1.09 1.02 1.02 1.12 1.17 Gearing ratio 76.98 77.88 80.97 80.67 81.42 Quick ratio 1.09 1.01 1.01 1.12 1.17 Cash Reserve Ratio 6.70 6.22 6.06 6.97 6.71 Staturory liquidity Ratio 26.00 32.96 34.02 38.39 29.83 Equity debt ratio (%) 12.30 10.56 9.62 10.43 10.61

 Other Business

 Import 147,704 174,384 168,532 133,219 126,571

 Export 106,943 133,396 143,612 127,091 110,096

 Remittance 28,433 36,890 42,443 32,628 39,484 Guarantee Business 29,000 27,844 29,391 31,170 30,155

 Capital Measures (Consolidated)

 Total risk weighted assets 183,747 194,380 205,103 222,791 216,324

 Core capital (Tier-I) 15,791 18,744 20,664 21,708 22,611 Supplementary capital (Tier-II) 5,692 5,485 5,252 5,104 4,812 Total capital 21,483 24,229 25,916 26,812 27,424 Tier-I capital ratio 8.60 9.64 10.08 9.74 10.45 Tier-II capital ratio 3.09 2.82 2.56 2.29 2.23 Total capital ratio 11.69 12.46 12.64 12.03 12.68

 Credit Quality Non-performing loans (NPLs) 1,368 1,908 6,168 7,815 11,215 NPLs to total loans and advances (%) 1.18 1.37 3.83 5.09 7.61 Provision for unclassified loans 1,463 1,725 2,025 1,691 1,741 Provision for classified loans 642 778 1,949 3,733 4,586

Share Information Market price per share (Taka) 94.45 44.50 37.00 25.90 19.60

 No. of shares outstanding (Million) 577.64 779.81 935.77 1029.35 1029.35

 No. of shareholders (actual) 19,748 26,030 23,964 25,632 23,102

26

 Earnings per share (Taka) 5.69 4.70 2.88 1.78 2.32 Dividend: 40% 30% 20% 12.50% 15.00%   Cash 5% 10% 10% 12.50% 15.00%   Bonus 35% 20% 10% - - Effective dividend ratio (%) 49.52 40.21 21.82 13.10 15.00 Dividend cover ratio (times) 1.42 1.57 1.44 1.42 1.55 Dividend yield (%) 4.23 6.74 5.41 4.83 7.65 Market capitalization 54,572 34,702 34,624 26,660 20,175 Net asset value per share (Taka) 29.27 24.49 22.21 22.37 23.76 Price earning ratio (times) 16.60 9.47 12.85 14.57 8.43

 Operating Performance Ratio (%) Net Interest Margin (NIM) 4.21 3.19 3.61 2.75 1.91 Net non-interest margin on average earning assets 1.50 2.12 1.60 1.48 1.52

 Earning base in assets (average) 88.66 89.51 89.69 88.12 86.80 Gross profit ratio 55.60 47.75 43.66 42.15 43.33 Net interest income as a percentage of working funds 3.10 2.29 2.48 1.80 1.15

 Profit per employee 2.89 3.24 3.36 2.76 2.15 Operating profit as a percentage of working funds 4.43 4.19 3.92 3.11 2.47

 Cost-income ratio 36.94 35.75 36.62 41.98 48.29 Credit-deposit ratio 93.16 86.88 88.38 76.07 71.94 Cost of funds on average deposits 6.39 8.15 8.75 8.80 7.36 Yield on average advance 11.76 13.09 15.17 13.85 12.09 Return on average assets 2.22 2.05 1.24 0.76 0.96 Return on average equity 21.65 20.19 13.53 8.35 10.08 Return on Capital Employed 9.53 9.01 8.10 6.53 4.79

 Other information No. of branches 94 102 113 117 122 No. of SME branches/centers 14 17 17 17 18 Number of ATM 43 81 134 151 160 No. of employees 2,139 2,292 2,544 2,710 2,867 No. of foreign correspondents 621 644 660 661 638

 Average earning assets 123,741 158,557 195,871 211,802 216,460

 Average total assets 139,574 177,146 218,392 240,351 249,391

 Average deposits 115,765 142,195 170,934 191,980 203,372

 Average loans & advances 102,654 127,452 149,869 157,239 150,47

27

8 Average equity 14,327 18,002 19,941 21,908 23,745

2.12.Corporate Milestones

1995 05.02.1995 Memorandum and Articles of Association signed by the sponsors

12.02.1995 Incorporation of the company

12.02.1995 Certificate of commencement of Business

20.02.1995 License issued by Bangladesh Bank

08.04.1995 License issued for opening the first branch, Motijheel

17.04.1995 Formal launching of the Bank

17.04.1995 Commencement of Business from Motijheel Branch

18.12.1995 Commencement of Islamic Banking Business from IBB, Dilkusha

1999 29.08.1999 Initial Public offering - Publication of Prospectus

09.09.1999 Initial Public offering - Subscription Opened

22.09.1999 Initial Public offering - Subscription closed

15.11.1999 Listed with Chittagong Stock Exchange Limited

2000 27.03.2000 Listed with Dhaka Stock Exchange Limited

28

29.03.2000 Trading of Shares in Dhaka Stock Exchange Limited

29.03.2000 Trading of Shares in Chittagong Stock Exchange Limited

2001 29.03.2001 Registered Merchant Banker with SEC

2005 17.04.2005 Completion of 10 years of service

2006 08.07.2006 Introduction of Prime Exchange Co. Pte. Ltd. (Subsidiary of Prime Bank Limited)

2007 15.03.2007 Opening of First Off-shore Banking Unit at DEPZ , Savar,Dhaka

01.04.2007 Introducing of Temonous as Core Banking Software T24

2008 11.03.2008 Launching of ATM

2009 01.08.2009 Launching of Internet Banking

2010 02.08.2010 Introducing of PBL Exchange UK Limited - London Branch

03.08.2010 Introducing of PBL Exchange UK Limited - BirminghamBranch

04.08.2010 Introducing of PBL Exchange UK Limited - Oldham Branch

2011 22.02.2011 Introduction of Prime Exchange Co. Pte. Ltd. (Jurong East Branch)

29

:

Azam J ChowdhuryChairman

M. A. KhalequeVice Chairman

Khandker Mohammad KhaledVice Chairman

Md. Nader KhanDirector

Nasim Anwar HossainDirector

Mafiz A. BhuiyanDirector

Md. Shirajul Islam MollahDirector

Marina YasminChowdhuryDirector

NazmaHaqueDirector

30

QuaziSirazul IslamDirector

Salma HuqImranKhanDirectorDirector

WaheedMuradJamil

Director

Md. ShahadatHossainDirector NafisSikder

Director

Mohammad Mushtaque Ahmed TanvirDirector

Dr. G M KhurshidAlamIndependent Director Director

M FarhadHussain FCAIndependent Director Dr. Shamsuddin Ahmad

Independent Director

Ahmed Kamal Khan Chowdhury

Managing Director

2.13.Board Of Directors:

Organization Structure:

From the top to the bottom management body of Prime Bank Limited can be divided into four

levels.

31

HR sector of Prime Bank Limited:

32

33

Prime Bank HR Training and Development Program

(PART 3)

3.1.HR Vision

Managing an organizational culture where employees enjoy working with pride and are strongly motivated to gain and maintain professional excellence to convert the human resource into human capital.

3.2.HR Principals

Ideas rule the world and ideas make money; even an idea can change our lives. The lines written here are

34

very true, we believe. We promote, recognize and execute great ideas. We believe only employees are the biggest source of innovative ideas. Our knowledge sharing, suggestion box, open house discussions, employee-management meets are the source of our ideas. If you believe you can make the change with your great ideas please communicate us and exploit sooner. Our HR Division plays advocacy role and acts as a bridge between the employees and employer.

We manage an evaluation system that clearly links individual performance to our business goals and priorities. Each employee has well-defined reporting relationships. Self-rating is as a part of our evaluation process which we promote always. We manage an evaluation system based on the records of periodic counseling and achievements of the employees tracked over the year. For higher objectivity and openness, besides the immediate supervisor, each employee is screened by the next higher level (reviewer).

3.3.HR Message to the Ambitious

Talents, welcome!

As you aim higher, career is all about choosing your own vision; it's more than about choosing your job. The path you choose first will be your pavement of future direction towards success. So, it is better to start with a learning environment, a winning culture, a trusted brand which will ensure your exhilarating avenue of career progression.

We, at Prime Bank Limited, carefully manage a learning environment, career development strategy, smooth progression of our talents. We offer an excellent organizational culture and competitive compensation package in a way which always match our employees' desires. In an exchange of all what we relentlessly look for, individuals with quality education, team-spirit, drive for professional excellence, creative approaches who can, in turn, produce desired end result.

3.4.Functions and Activities of HRM:-

In order to achieve the objectives of an organization, the HRM section or department must carry out a number of functions. The key functions of HRM can be summarized as the acquisition, maintenance, development and termination of employees. Acquisition: This is the 'getting' phase of HRM. It includes estimating both the future demand and supply for human resources and integrating these resources into a total human resource strategy. In other words, t6the objectives and future directions of the organization must be known before any reliable forecasts of people needs can be made. The acquiring process includes recruiting, selection and the socialization or induction of new employees. Maintenance This is the 'keeping' function and involves providing benefits, services and working conditions that are needed if individuals are to remain committed to the workplace.

35

3.4.1.Core functions of HR:-

Recruitment :- Recruitment is the process attracting, evaluating & hiring

employees for an organization.

● Selection:- Selection is the process of selecting a qualified job candidate for

a job who can successfully do it and add value to the organization.

● Orientation:- Orientation tactics exist to provide new employees enough

information to adjust, resulting in satisfaction and effectiveness in their role.

● Development:- A core function of HR management is development, which

entails training efforts designed to improve personal, group, or

organizational effectiveness.

● Performance Evaluation:- Performance evaluation is the process of

assessing an employee’s job performance and productivity, usually for a

specified period of time.

● Career Path Management:- Career path management requires HRM to

plan and then actively manage employee skills in the pursuit of successful

professional careers.

3.4.1.1.Competitive Compensation Package:

We offer a rewarding culture and higher compensation and benefits package in a way which always match with our employees’ desires including basic salary, provident fund, gratuity, housing allowance, medical allowance, conveyance allowance, group insurance, employees’ welfare fund, leave fair assistance and other admissible facilities those match individual job role and designation as per banking policy.

3.4.1.2.Performance Bonus:

36

Every year we pay for the high performers when company hits a certain level of profitability. It is also based some other additional criteria like the team's success and the individual's performance.

We create profiles of top performers and make these visible company-wide. It will encourage others to put in their best, thereby creating a competitive environment within the company.

3.4.1.3.Knowledge Sharing and Open House Discussions:

Ideas rule the world and ideas make money; even an idea can change our lives. The lines written here are very true, we believe. We promote, recognize and execute great ideas. We believe only employees are the biggest source of innovative ideas. Our knowledge sharing, suggestion box, open house discussions, employee-management meets are the source of our ideas. If you believe you can make the change with your great ideas please communicate us and exploit sooner. Our HR Division plays advocacy role and acts as a bridge between the employees and employer.

3.4.2.There are seven main functions of HR :

● Function 1: Manpower planning

● Function 2: Recruitment and selection of employees

● Function 3: Employee motivation

● Function 4: Employee evaluation:

● Function 5: Organizational relations

● Function 6: Provision of employee services

● Function 7: Employee education, training and development.

An Overview of Prime Bank HR Training and Development

Centre:

The challenges associated with the changing nature of work and working environment are as

real for Prime Bank Ltd. as compared to others in elsewhere. The technological Development

and new policies / frameworks need a skilled and knowledgeable workforce who are

37

adaptive, flexible and focused on the goal of the Bank. They believe and take all out efforts to

encourage growth and career Development of the employees by coaching and helping them

to achieve both their personal and professional goals at Prime Bank and beyond.

They also believe that employee Development requires a shared responsibility among the

Bank Management, all Heads of Branches, Divisions, Departments, Units, Cells and

employees themselves. New concepts, issues received if any from Central Bank is also be

taken into account and impart these among the employees

In Prime Bank, Human Resources (HR) Division regularly undertakes effectively designed

training programs targeting the right group of employees through proper training need

assessment. Prime Bank believes that continuous efforts should be given so that employees

acquire and develop the right set of skills required to face the challenge of ever changing

market. In Prime Bank, the employee development plan is based on proper training need

assessment.

In 2014, Prime Bank’s internal HR Training and Development Centre arranged training on 62

different topics for 4,370 enthusiastic participants. Besides, a total of 644 employees were

sent to participate in various training programs/conferences in home and abroad. In total, the

number of participants who participated in trainings/conferences has increased by 48% over

the last year.

The whole capacity building efforts is pivoted on the unique understanding of banking sector

as well as required behavioral skills to create a group of competent professionals with strong

leadership skill. The banking sector is complex and diverse with evolving nature of threats

and the risks. So, the training module is updated time to time for employees of the Bank in

the changing context of financial market

38

OBJECTIVES OF THE TRAINING &DEVELOPMENT PLAN:

To encourage growth and career Development of all employees of the Bank

To improve the Bank’s effectiveness by providing employees Development on job related

Knowledge, Skills and Attitude.

To meet the needs of Bank’s business while simultaneously responding to the needs of

individual employee’s Development

To prepare and make ready the workforce to comply with the new changes in the national

and global banking business.

To create an outstanding professional image within the banking industry by developing

our workforce through need based training associated with future requirement.

HR Training & Development Center took all out efforts to encourage growth and career

development of the employees by training, workshop, seminar, coaching etc. and also

send employees abroad on burning issue of the age. Employees are also sending to

Bangladesh Bank Training Academy (BIBM) by helping them to achieve both their

personal and professional goals at Prime Bank and beyond. HR Operations maintain a

close link with the training and development center in order to produce a synergistic end

result that would help inculcate professional excellence of the employees.

Importance of Human Resource Training &

Development:

The HR training & development ensures the concept of TQM- total quality

Management.

This Department ensures EEO- Equal Employment Opportunity.

This department manages the training system for the new recruited employees, weak

employee and if any new technology or theory is adopted.

39

Also looks after taking care of employee’s compensation & benefits.

Serves with latest & best modules and topics of training giving importance to the

changing technology & newly adopted methods in the organization.

Helps to increase KSAOs of t. e employees.

This department looks after the performance appraisal, promotion, and transfer.

Establish and maintain chain of command & management hierarchy.

This department tries to improve the motivational level of employee.

To establish all kinds of acts regarding employee, organization etc.

To improve the employees’ skills.

To establish and ensure proper organizational behavior and environment.

Mainly it enables the employees to become efficient & achieve the desired stage.

40

REVIEW OF TRAINING PLAN AND BUDGET- 2014:

The following bar chart shows the target and achievement of the Training Plan 2014:

The following bar chart shows the total training expenses for the year 2014 as against Budget for the year 2014,

and total number of participants covered in last three years. It may be mentioned that HR Training and

Development Center always tried to extract maximum output with minimum cost. Therefore, under the

guidance of the Management of the Bank and support of all concerned, we will be able to show some notable

changes and new ideas in training and Development system of Prime Bank Limited during the year 2015.

41

42

TRAINING NEED ANALYSIS

Methodology: In the year 2015 emphasis has been given on need based workshops and training. The following

training need analysis methods have been applied to identify the need for workshops and training:

a. Individual Interview through Annual Appraisal: The weakness and the individual need for training and Development have been identified through individual interview of Annual Appraisal Forms of HR.

b. Heads of Branches/Supervisors’ Recommendation: HR Training &Development Center collect information from the supervisors/Heads of all Branches and Departments/ Cells/ Units and Divisions at

Head Office.

c. Business Demand/Need: Since the bank and the Government have given emphasis on Small and Medium Enterprises, Agriculture, Retail Banking, Green Banking & Finance the need for training has been identified in developing new product based on the retail banking, Agriculture and SME.

d. Policy Compliance Need: Different compliance issues have been examined and training needs were identified accordingly. Training centers always takes sessions on Anti Money Laundering, Anti-Terrorist Financing, CTR and STR, FATCA towards combating money laundering and terrorists financing. Our Internal Control & Compliance Division also takes necessary steps to conduct out-reach workshops with the help of Bangladesh Bank officials to guard against terrorists financing.

e. Executive Development Need: From the different levels of interview, it has been found that the potential Heads of Branches need specific Development on different aspects (i.e. managerial skill, leadership skill, decision making skill, change management, communication skill, supervisory skills, credit structuring, supervisory risk on Basel-llI, T-24 issues and other IT risks issues. Training Center is arranging training/workshops on these topics also).

g. Others :With the guidance of the MD & CEO, Senior Management and Head of HR, Training Center arranged workshops for the Heads of Branches and Manager Operations on different contemporary and upcoming issues like “Stress Testing”, supervisory review process on Basel Ill, Green Banking, BACH & RTGS etc.

43

3. DESIGN AND DEVELOPMENT OF TRAINING :

Continuous investment in Training and Development is essential for improving the performance of the Prime Bank’s workforce. Training and Development is essential in attracting and retaining a knowledgeable and skilled workforce. Based on the need analysis and recruitment policy, the training plan for 2015 has been designed. The entire training module has been divided in two parts- (i) Training and (ii) Workshop based on duration and type.

a. Training for the Entry Level Officers: A good number of entry level officers in the rank of

Management Trainee (MT) and Trainee Assistant (TA-General & Cash) were recruited in 2014.

They are working in different branches and divisions. They have got Foundation Training on

banking operations. Frequency of Foundation Training Course depends on the total number of entry level officers left out for the training. The Foundation training course will be for 20 working days for MTs, 18 working days for TA(general)and 10 days for TA(cash), in which all most all subjects covering practical working knowledge on banking operations, individual and group assignments, presentation, business communications.

b. As per instruction of Audit Committee of the Board establishment of an IT Lab at the HR-TDC is under process. Hope it will be operational from the first Quarter of 2015 with 35 seating capacity. The HR-TDC will arrange Training Program for all employees of the Bank on T-24 System & IT Security as designed by the IT Audit & Security Department. In the year 2015 we have plan to cover 490 employees of the bank including HOB/MO under the said Program.

c. Training on Basel II and Basel III Related Issues& Stress Testing: Basel II accord is fully

enforced from the 1st January, 2010 and implementation of Basel III is under process. All employees must acquaint themselves with the Basel II & Basel III related issues. We have designed and arranged training on this subject to educate the employees who are working in the related division/department of branches. In this connection, emphasis has been given to analyze different risk components, capital assessment, supervisory review and evaluation process, credit risk, Interest rate risk, Exchange rate risk, Equity price risk and liquidity risk & Stress testing etc. Already a separate risk management unit at Head office has been setup as per guidelines of Bangladesh Bank. As per the decision of meeting of the 4th RMC of the Board for organizing regular training & workshops on Risk Management has also been included in the plan.

d. Training on UCP 600, ISBP-745, Incoterms-2010 and Foreign Remittance: After introduction of UCP 600, ISBP-745, Incoterms-2010 few major changes have been inserted in the Foreign Exchange Policies. Due care has been given to train-up the concerned employees of branches and Head Office. Besides, importance has been given to Foreign Remittance and

44

Foreign Direct Investment (FDI).

e. Training on Business Related Issues: Bank’s growth depends on the business. In this competitive business environment products should be developed as per the customers’ need. Dealing and selling different products need efficient customer care, service and capacity of analyzing customers’ worthiness. Issues related to retail banking, agriculture, SME, customer care etc. have been taken into due consideration to design training courses.

f. International Trade Payment & Finance: Keeping in view the global meltdown and recovery in International Trade and political unrest in some parts of the world. We have designed this area to aware about frame work of International Trade Payment & Finance, Foreign Exchange Regulations, Guidelines of Foreign Exchange transactions, deregulatory measures, Import & Export Policy, nCurrency Convertibility.

g. Training on Islamic Banking: Emphasis is also be given to Islamic Banking training as well as T24 operation under Islamic mode with the help of Information Technology (IT) Division.

h. Professional Development: Training is the gateway for any professional Development which

increases knowledge, skills and changes the attitude of the employees. Professionally Developed and skilled employees are the assets/resources for any Bank. Some training has been designed to develop different skills and knowledge of the officials of the Bank to take over any challenging responsibilities added in their portfolio.

i. Customer Care: HR Training & Development Center is giving priority to the Banker- Customer Relationship. In this connection workshops will be conducted on the related issues like Negotiation skills, Customer Relationship Management (CRM), Customer Service, Retail Banking, Etiquette and manner in banks.

j. Out-reach Training/Workshop: According to the Bangladesh Bank’s Guidelines Anti Money Laundering (AML) training is being arranged in different locations, both inside and outside Dhaka city. The outreach workshops will also be arranged on Negotiation skills, Customer Relationship Management (CRM), Retail Banking, Customer Service, IT Audit and Security& IT risks and awareness on forged Notes incorporating our customers and local businessmen

k. Front Line Managers: In order to keep pace with the succession planning, organizational

Development we have included a new area of Training for preparedness of future leaders of the

Bank. They will be imparted of all areas of Branch operation like General Banking, Corporate

Banking, International Trade and also etiquette and manner in banks.\

45

NOMINATION OF PARTICIPANTS:

HR- TDC conducts subject-wise analysis for nominations. Priority is given to the entry level officers. For some selected training/workshops nominations are obtained from the Branches/Divisions/Departments/Cells according to their training needs and scope. But to find out the weakness and training needs of the employees is a regular phenomenon of HR-TDC.

SELECTION OF RESOURCE PERSON(S):

Priority is given to the Internal Resource Persons. For some specialized subjects/topics resource persons are invited from BIBM, Bangladesh Bank, reputed local Universities, Financial Institutes and other subject related organizations. A token honorarium is paid to all level of resource persons (internal and external) according to the decision of the Board taken in its 294th meeting held on April 8, 2008.

PROGRAM DETAILS & TRAINING/WORKSHOP BUDGET

Program details and Training/ Workshop budget for the year 2015 have already been prepared. It may be mentioned that any other Local and Foreign trainings/workshops/seminars whatsoever have not been catered for. This will be placed for approval as and when required or as advised by the Management.

EVALUATION OF TRAINING:

Training is an investment which ensures its profitability through employee productivity. How the employees are performing and how they have received/anticipated the training, this can be judged through evaluation. There are comprehensive and quiz test every training course. Evaluation is divided into 4 (four) areas for the

Foundation Training Course like

1. General Banking

2. General Advance

3. Foreign Trade &

4. Group Assignments and presentations.

The result of training has the impact on the annual performance of the individual employee. On the other hand topic wise evaluation of trainers is also be obtained from the trainees.

46

Training and Workshop arranged by HR Training and Development Centre:

47

Comprehensive Performance Management Program on PBL:

48

Prime Bank has a comprehensive performance management program that evaluates employees’ yearly performance against business targets at the year-end. The performance evaluation is a step by step by process where an employee first rates himself/herself. Then she/he is rated by the fir level supervisor and then finally by the second level supervisor. To ensure a proper performance evaluation and rate the employees based on their comparative performance, the line Management is guided by the Human Resources Division. This performance appraisal system is considered as crucial for the Bank as this is a very important tool to identify and distinguish the performers and non-performers. Prime Bank believes that a well executed performance appraisal system can help to reward the deserving employees, as well as help to ensure further development program for the rest. The comprehensive performance management also includes an assessment of employees functional and leadership competencies. This appraisal process helps to identify the competency gap and training needs of employees. All permanent employees of PBL undergo annual performance appraisal process.

49

Learning & development Opportunities

Prime Bank continuously thrives to transform Human Resources to Human Capital through appropriate learning and development initiatives in every aspects of work area. HR Division regularly undertakes effectivelydesigned training programs targeting the right group of employees through proper training need assessment.The ‘Management Trainee Development Program’ of Prime Bank is designed for newly recruited ManagementTrainees (MTs) who receive job rotation across the country and different functions in a structured process. Thiseffectively designed program provides ample opportunities to acquire necessary knowledge, skills and on-thejob-experience. All the MTs who were recruited in 2014 are going through the development program. In 2014,Prime Bank’s internal HR Training and Development Centre arranged training on 62 different topics for 4,370enthusiastic participants. Besides, a total of 644 employees were sent to participate in various trainingprograms/conferences in home and abroad. In total, the number of participants who participated intrainings/conferences has increased by 48% over the last year. The whole capacity building efforts is pivoted onthe unique understanding of banking sector as well as required behavioral skills to create a group of competentprofessionals with strong leadership skill. The banking sector is complex and diverse with evolving nature ofthreats and the risks. So, the training module is updated time to time for employees of the Bank in the changingcontext of financial market.

Business Performan c e of Prime Bank Limited:

In 2014 we made significant progress in transforming ourselves to become the ‘compliant’ bank for regulatorsand customers. During 2014 the macroeconomic environment remained challenging – economic contraction,unemployment and political and regulatory uncertainty impacted both us and our competitors. Against theseuncertainties we successfully controlled branch operations while taking steps to de-risk the business. The Bankcontinued its growth momentum despite challenges in the banking sector, and stayed alongside of industryaverage growth rates in business volumes and the underlying streams of revenue. The profit after tax has

50

increased by 30.80 percent and return on assets by 26.31 percent during 2014. Total assets grew by 4.53 percentto BDT 254,912 million with investments showing 27.58 percent growth. Deposits grew by 1.45 percent toBDT 204,838 million during 2014. Prime Bank contained the rise in NPLs through constant monitoring andfocused recovery efforts, closing the year with an NPL ratio of 7.61 percent as against an industry average of9.69 percent. Interest spread and commission came under pressure in the wake of a declining interest rateregime which saw assets being re-priced faster than the liabilities. However, our Bank’s cost of deposit hascome down to 7.36 percent (2013: 8.80 percent). Moving forward, we expect interest rates to be stable in 2015and provide the impetus for a higher credit growth. As we head into 2015, many commercial projects that werenot previously deemed financially viable could gain new life in this more favorable interest rate environmentand non performing situation may improve. Even though our margins will be leaner, it would be compensatedthrough growth in volume and improved asset quality with borrowers finding their credit obligations moreaffordable. Remittance growth started gaining momentum and became positive in the second half of 2014. Thegrowth in remittance was 10.30 percent during 2014.

51

3.5.Role Of traning

52

3.6.Methods used in Management Development:-

53

3.7.Training & development policies of Prime Bank Limited:-

Prime Bank Limited believes that a proper form of training contributes to the development of human resources & human resources can be developed by way of upgrading the job understanding & proficiency. Training is fundamentally a designed constant learning process & attempt by management to improve employees competency levels & thus to develop the individual ability to perform on the job. In-fact, the more information & education the bank will give to employees, the better prepared they will be to advance within the bank.

3.8.Training policies of Prime Bank Limited are given below:

● A training index identifying the training needs of all the employees, it is seen form the employees point of view as well as from the respective departments point of view.

● Training & development is a designed activity. Human Resource Department of PBL sets the training planning & budgets for all the departments based need & assessment & gets it verified & permitted by the respective department heads at the beginning of every year.

● In PBL, a training agenda prepared for each employee. This training agenda contains the number of days of training for each of the employees in the various areas on which training would be imparted.

● The training session would be conducted either by internally or by externally.

● The respective department heads are the liable for the training programs or a specific department.

● Once an employee has been selected for a training program he/she is bound to attend the program, any exception should have permitted by the respective designed personnel.

54

● Training feedback would be generated from the participants & their respective superiors. Based on the rating received, decision shall be taken to continue the program in future.

● Prime Bank Limited also promotes internal trainers as well external. Senior employees with expertise in a particular area & having the desire & aptitude to train would be motivated to hold such programs at regular intervals.

3.9.Identifying Training Needs at PBL:

● Who needs to be trained?

● What skill must an employee learn in order to be more productive?

● Where training is needed?

The purpose of the needs assessment is to identify how to improve the quality of

the personnel that is recruited, hired, oriented, & trained. A training needs

assessment is a three step process. Decide how to complete each type of analysis

using these three phases.

55

The need assessment of training & development programs are completed through a three phase process which are:

56

3.10.Training methods of Prime Bank Ltd:

57

3.11.Research on employee training need:

58

1. Do you think that training needs assessment is properly done to provide the training facility?

Interpretation:

From the graph it is seen that some employees were agreed with the statement that is the training need assessment process was properly done to provide the training facility. The graph shows that 50% of the employees were agreed where as 30% of them were neutral & 20% were disagreed with this view.Comment:

Here we can say that the training need assessment process of PBL was not properly followed to find out the training need of the employees

59

A:AgreedSA: Strongly

AgreedN: Neutral

D: DisagreedSD: Strongly

Disagreed

2. Are you satisfied with the training policies of your organization?

Interpretation:

From the graph, it is seen that most of the employees were satisfied with the training policies of PBL. That is 70% of the employees were agreed & 30% of them were of them were strongly agreed with this view.

Comment:

Here we can say that the training policies of PBL are employees friendly & help employees to flourish their capability & achieve the organizational goal.

60

A:AgreedSA: Strongly

AgreedN: Neutral

D: DisagreedSD: Strongly

Disagreed

3. 3.Do you think that the training programs are arranged within the scheduled time?

Interpretation: From the graph, it is seen that most of the employees were agreed with the statement. That is 60% employees were agreed & 40% employees were strongly agreed with this view.Comment:Here we can conclude that training programs of PBL is arranged within the scheduled time.

61

A:AgreedSA: Strongly

AgreedN: Neutral

D: DisagreedSD: Strongly

Disagreed

4. 4.Do you think that the resource personnel are really specialists for conducting the training program of Prime Bank Limited?

Interpretation: From the graph, it is identified that most of the employees were agreed with the statement that resource personnel are really specialist expert forconducting the training program of PBL. That means, the PBL selects theresource personnel very prudently for making the training program moreeffective. That is 60% employees were agreed & 40% employees were strongly agreed with the statement.

Comment:Here we can reach at a statement that, the resource personnel’s are reallyspecialists in conducting the training program of PBL.

62

A:AgreedSA: Strongly

AgreedN: Neutral

D: DisagreedSD: Strongly

Disagreed

5. 5.Do you believe that sufficient materials are provided at the training program of Prime Bank Limited?

Interpretation : From the graph, it is seen that most of the employees wereagreed with the statement. That is 50%of them were agreed but 20% ofthem were disagreed, 30% of them were neutral with this view.

63

A:AgreedSA: Strongly

AgreedN: Neutral

D: DisagreedSD: Strongly

Disagreed

Comment:Here we can reach at a statement that the training materials provided byPBL are not sufficient to all the employees equally.

6. 6.Do you think that learning objectives of training are meet at the end of the training program?

Interpretation: From the graph, it is seen that most of the employeeswere agreed with the statement that is 40% of the employees are agreed & 30% of them were strongly agreed with it but 30% of them were neutral with this view.

64

A:AgreedSA: Strongly

AgreedN: Neutral

D: DisagreedSD: Strongly

Disagreed

Comment: Here, we can understand that the learning objectives of training programs of PBL are met at the end of the training program.

7. 7.Do you believe that the training environment is conducive for the learner?

Interpretation: From the graph, it is seen that most of the employees were agreed

65

A:AgreedSA: Strongly

AgreedN: Neutral

D: DisagreedSD: Strongly

Disagreed

with the statement & some of the employees were disagreed with the statement. That is 30% employees were agreed & 20% employees were strongly agreed but only 10% of them were disagreed & 40% of them were neutral with the statement.

Comment:We can say that PBL’s training environment is relatively conducive in nature as most of the employees are satisfied with their training environment but some employees are confused & some others hold negative perceptions about thetraining environment of PBL.

8. 8.Do you think that the training environment is important to deal with challenges?

Interpretation: From the graph, it is seen that most of the employees were agreed with the statement & that they think training program is important to deal with challenges. That is 50% employees were

66

A:AgreedSA: Strongly

AgreedN: Neutral

D: DisagreedSD: Strongly

Disagreed

agreed & 50% employees were strongly agreed with the statement.

Comment:Here we can recognize that there exists an immense importance ofPBL training program to deal with challenges.

9. 9.Training & development program is a routine activity to develop employees”- Do you agree with the statement?

Interpretation:

67

A:AgreedSA: Strongly

AgreedN: Neutral

D: DisagreedSD: Strongly

Disagreed

From the graph, it is seen that most of the employees were agreedwith the statement while only one of the other employees were disagreed with the statement. That is 60% of the employees were agreed & 10% of them were disagreed with it. It was also found that only 20% of them were in neutral position & 10% of them were strongly agreed with view.

Comment:Here we can recognize that regular training program is essential for developing employees performance level & skill in PBL.

10. 10.Do you think that training can bring change in quality of performance?

68

A:AgreedSA: Strongly

AgreedN: Neutral

D: DisagreedSD: Strongly

Disagreed

Interpretation: From the graph, it is identified that all the employees were agreed with the statement that training can bring change in quality of performance. That is 60% employees were agreed & 40% employeeswere strongly agreed with the statement.

Comment:With the evidence of the above table & graph, we can recognize thattraining helps to bring change in quality of performance which is alsorecognized by all the employees of PBL.

11.Do you think that availability of feedback system is found in the Prime Bank Limited.

69

A:AgreedSA: Strongly

AgreedN: Neutral

D: DisagreedSD: Strongly

Disagreed

Interpretation:

From the graph, it is seen that most of the employees were agreed with the statement. That is 80% employees were agreed & 10% employees were strongly agreed & 10% employees were in neutral position with this statement.

Comment:

With the evidence of the above table & graph, we can undoubtly declare PBL has a strong & effective feedback system regarding training & development program.

12. Do you think that performance appraisal system of the training program is effective?

70

A:AgreedSA: Strongly

AgreedN: Neutral

D: DisagreedSD: Strongly

Disagreed

Interpretation:

From the graph, it is seen that most of the employees were agreed with the statement. That is 40% employees were agreed & 40% employees were strongly agreed but 20% of them were neutral with this statement.

Comment:

With reference to the facts of the above table & graph, we can be acquainted with the statement that the performance appraisal system of training program in PBL is effective to measure the performance of employees.

3.12.Findings:-

In my research some major findings are identified regarding training& development programs of the Prime Bank Limited are given below-

❖ Due to the short span of time & difficulty in procedure the Prime Bank Training Institute sometime conducts training programs without proper need assessment but it happens very seldom.❖ To direct & develop the employees through training & development programs PBL follow the decent policy which is capable to meet up contemporary demand.❖ PBL follow punctuality in scheduling & arranging training program strictly.● Almost all the employees of PBL are satisfied with the resource personnel for conducting the training program of PBL.

71

● Training materials are not rich, available & understandable to all the employees equally.● The learning purposes of training programs are met at the end of the training program.● PBL’s training environment is relatively conducive in nature, most of the employees are satisfied with their existing environment but some employees are confused & some others hold negative perceptions about the training environment.● Maximum numbers of employees recognize the importance of training program to deal with challenges.

● PBL believes regular training program is essential for developing employees performance level & skill.

● Training helps to bring change in quality of performance to recognized by all the employees of PBL.

● PBL has strong & effective feedback system.

● The performance appraisal system of training program in PBL is up to the mark to measure the performance of employees.

● The overall training & development procedure of PBL is not wholly dynamic to meet al the employees need & demand positively & equally through training & development programs.

72

Chapter-4Conclusion and

Recommendations

Conclusion:-

Banks play important role in the modern economy; Human Resource Management issues play an important role in every organization & in the banks. No organization can achieve its goals or can be good, until or unless it satisfies employees. Human Resource or organizational members play the role of the crew who convert goals into the reality. In the banking sector, highly educated & strategic personnel are

73

required to create a competitive position & to retain it for the long time. Training, the principle of equality, job satisfaction & career development are important in the bank. The job satisfaction of the employees is more than moderate. Most of the employees are satisfied here. The bank is also satisfied with its employees. Bank’s salary is high but not highest in comparison with other commercial banks. Still comfortable working environment, good interpersonal relationship, & the benefits of the employees of the PBL are also satisfactory. Finally, the bank must introduce a modern banking system, adopt new technology, initiate new product, & train its employees properly to do their job & keep employee satisfied. Bank’s performance is good for its satisfied employees. The bank is on the right track. The bank’s HRM

policies are of course better, it has been able to satisfy the employee. Training is only effective if each every component of training has been taken care of before, during the training program. Each stage of training from planning to effectiveness has its own significance & challenges which cannot be ignored neglected at any cost. If the bank can turn employee into a resource by proper training & development programs, then the organizational goal can be achieved into its desired level because employee retention & overall efficiency of the organization.

Recommendations:-

As it is seen by all that the organizational & individual objectives are corresponding. The accomplishment of both organizational & individual objectives can be directed by training programs. Training & development make it possible through optimizing the optimum utilization of human resources that will

74

inspire the employees to attain the organizational goals as well as their individual goals. By studying & analyzing the current position of Prime Bank Limited’s training & development program, some pitfalls are identified for which the following recommendations can be suggested-

● Training need assessment should be conducted more strictly & if possible make it mandatory.

● Resourceful, updated & clearly understandable training materials should make available to all the employees those who are selected for training program.

● Initiatives should be taken to make the training environment more conducive to all the employees.

● The training & development program should be organized & maintained as a routine activity because employees efficiency in the workplace largely depends on it & they also be able to review the training as a routine based work.

● The authority of PBL should make an effective reward system which will encourage employees for attending the training program.

● Introduction of more training programs will be effective for sustaining professional growth & development of employees.

References:

1.http://www.energizedwork.com/weblog/2007/04/improve-quality-to-increase, Date:10.03.15 Time: 10:00 AM

2.http://smallbusiness.chron.com/improve-productivity-quality-2526.html, Date:10.11.15 Time: 10:00 AM

3. http://www.cliffsnotes.com/more-subjects/principles-of-management/productivity-and-total-quality-management/productivity-and-quality, Date:12.11.15 Time: 01:00 AM

75

4. http://www.hindawi.com/journals/jqre/2013/752164/ , Date:10.11.15 Time: 10:00 AM

5. http://en.wikipedia.org/wiki/Beximco_Pharma, , Date:14.03.15 Time: 08:00 AM

6. http://www.superbrands.com/bd/images/PDF/08.pdf, Date:12.03.15 Time: 08:40 AM

7. www.superbrands.com/bd/images/PDF/08.pd, Date:10.03.15 Time: 08:40 AM

8. www.bddrugs.com/company_profile.php?nid=1, Date:10.11.15 Time: 08:40 AM

9. www. beximco - pharma .com/ , Date:10.11.15 Time: 08:40 AM

10. http://www.paconsulting.com/our-experience/developing-a-new-concept-to-improve-quality-of-data-and-productivity-of-the-laboratory-and-manufacturing-facility/ , Date:10.11.12 Time: 08:40 AM

11. http://www.pharmamirror.com/pharmaceutical-articles/embracing-quality-by-design-qbd-in-pharmaceutical-industry/ ,Date:10.11.15 Time: 08:40 AM

12. http://smallbusiness.chron.com/improve-productivity-quality-2526.html,Date:11.11.15 Time: 08:40 AM

13. American Productivity and Quality Center: Process Classification Framework, , Date:10.11.15 Time: 08:40 AM

15. American Society for Quality: Resources, , Date:10.03.15 Time: 08:40 AM

http://www.dse.com.bd/media.php?mda_type=noticeb

http://www.dse.com.bd/media.php?mda_type=noticeb

76