EXECUTIVE SUMMARY

Habib Bank Limited is a Pakistani owned private, commercial bank operating in Bangladesh. It was established in 1947 as a commercial bank. It has flourished with 1 !! branches, 1!!! "#$%&' in Pakistan and #ill now it has from a commercial bank. #he main purpose of this report is to understand performance feedback s+stem of (abib Bank )imited and provide them feasible recommendations for organi-ational action. "t first, we anal+-ed the overall (. polic+ of (abib bank )imited and then found out the connection among all of these with emplo+ee performance. Because we all know emplo+ee performance is highl+ interrelated with environment, compensation, motivation, development etc. /ow a da+, (uman .esource has become one of the vital ingredients of an organi-ation0s e,istences and survival in the long run. "s we know, (uman .esource is the best resource that can provide long term sustainable advantage to an organi-ation so, it is ver+ important to appoint the right person to the right place to achieve such competitive advantage. If we give a glance on emplo+ee performance, it becomes eas+ to find out whether right person is in the right place or not. "s (B) is planning to e,pand their business in Bangladesh and increase the number of branches in Bangladesh, the+0ll definitel+ need more efficient manpower to manage more branches and upcoming huge workload. &o before opening new branch and e,pand their business the+ need to focus on their current performance appraisal s+stem to know what t+pe of 1ob the emplo+ees perform, how the+ perform and how well the+ might perform in future and skill re2uirement in their organi-ation. &o, this report might help them to identif+ them their current performance appraisal s+stem and some recommendation for their organi-ation. branches worldwide. In Bangladesh (B) started to function in 197*. branches in Bangladesh. It provides all t+pes of banking service people e,pect

INTRODUCTION
Origin o t!e Re"ort (uman .esource management deals an+thing and ever+thing that concerns 3rgani-ation efficienc+, improvising the whole (. process for the beneficiar+ to the organi-ation. $an+ sa+s the best wa+ to learn is to deal with them or encounter them directl+, 3ur mentor 45arhana .ashid6 who is also an "ssistant Professor of 7I7 %7nited International 7niversit+' assigned us with a report on 7nderstanding Performance 5eedback &+stem in the 3rgani-ation on a ver+ renowned organi-ation established in our countr+, (abib Bank )td. /eedless to mention of its importance on completion of this course. 8hile stud+ing man+ (. theories in classrooms gave us an idea how it might look or work in real life circumstances, and this opportunit+ gave us the platform to e,plore more and look more closel+ for better understanding. 8e also would like to let +ou know that we have tried to identif+ the practice of performance feedback s+stem in the organi-ation and also tried to provide feasible recommendation for the organi-ation. Ob#e$ti%e o t!e Re"ort #he main ob1ective of stud+ing the (B) (uman .esource $anagement practice in bank in order to observe the practical approaches being applied in this organi-ation and we wanted to get practical e,posure and e,perience of what we have studied during our course work. &ome other micro ob1ectives are as under #o get the current performance appraisal s+stem of the organi-ation. #o identif+ the practice of performance feedback s+stem of the organi-ation. #o anal+-e and evaluate the result 9#o provide feasible recommendation and some suggestions for the organi-ational action to improve efficienc+.

Met!odo&og' In this report we got ma,imum information from &amsuddin Badrul who is a &enior Principal 3fficer of the #reasur+ ;epartment of (abib Bank )imited. 8e interviewed him and talked with some other emplo+ees personall+ to know about their reaction of the performance appraisal s+stem of (abib Bank )td. 8e have also used both primar+ and secondar+ data to make this report. Primar+ &ource< Primar+ data source was the emplo+ee from (abib Bank. &econdar+ &ource< &econdar+ data sources were internet, compan+ brochures and our te,t book. #he data provided b+ the emplo+ee were reall+ ver+ helpful to make this report. It helped us to suggest some solutions to the e,isting appraisal problems.

Limitation o t!e St(d' "s (abib Bank )imited is an international bank = people generall+ do surve+ on local banks, so there is no previousl+ conducted surve+ on it. #he ma1or limitation of this report is that no previous stud+ is done before on (abib Bank )td0s overall (. planning. #he other limitations are as follows< #he stud+ is heavil+ relied on observational and informational method which has its own disadvantages and not a ver+ effective method. #here is a particular department for (.$ but the+ don0t share all things for t h e i r r u l e s a n d r e g u l a t i o n . >mplo+ees were reluctant to give information, as the+ are afraid that their corporations0 information might get leaked outside. ?

#he volume and magnitude of information collection is another limitation of this pro1ect. #he amount of information needed to conduct such t+pe of assessment is vast, but that c o u l d n o t b e g a t h e r e d . # h a t 0 s w h +@ t h e p r o 1 e c t m i g h t l a c k s u f f i c i e n t c l a r i t + a n d credibilit+. .ather, it recommends further and deeper stud+ on the matter.

#he stud+ area was the nonAgovernment organi-ation so the collection of information is 2uite hard to collect. #he organi-ation is rigid to reveal the data associated with the emplo+ment polic+ and labor relations. Besides all these, the political unrest of Bangladesh to some e,tent became a limitation to our report.

LITERATURE REVIE)

Performance management is a more liberal and meaningful idea then performance measurement. It involves both 2ualitative and 2uantitative methods to measure the performance. Performance management is the wa+ of achieving efficienc+ and competitive advantage which in terms ensures profit and success for the organi-ation. Performance management is the s+stem of ac2uiring and maintaining the best work from emplo+ees b+ giving them attractive compensation and keeping them motivated to give their best. 8orkers are not alwa+s happ+ with the method of performance management and managers are alwa+s in trouble to manage this with their workers. It is possible for the managers to overcome this matter if the+ give the workers different t+pes of benefits and give them the proper design of their tasks. #here are some wa+s of deciding the performance measurement criteria. "rmstrong and Baronare mentioned two central propositions used to measure the performance assessment< !1. People put their best endeavoring to the stage well if the+ know and recogni-e what is e,pected of them and have had the surrounding0s specif+ing those e,pectations. !:. 8orkers performance e,pectation is based on< a' Individual levels of abilit+. b' ;ifferent t+pes of support from management. c' "vailabilit+ of schemes, resources and processes from the organi-ations *er orman$e Management S'+tem+ #here are several functions of the performance management method< &trengthening of the organi-ations worth and norms, Bonsolidation of character purpose with those of the organi-ation, Cive them a chance to appl+ their own view, sharing the belief between management and workers about their e,pectations. In a most important review in British, :!

percent sa+s that the+ have a s+stem, * percent sa+s the+ had some performance management processes and 1 percent sa+s the+ had no s+stem ,Be%anand T!om"+on- .//01 Performance management should start with the individual emplo+ee performance b+ taking a 1ustification. #he performance management process starts from the top level of management in an+ compan+ and its end is end level of workers. Bompan+ has an individual ob1ective for their achievement and aligns the ob1ective to the workers. $anagement should give the idea about organi-ational goal and process to the workers. #hen workers can meet their main ob1ective and the+ can perform better wa+. 8ithout giving an+ information or b+ giving wrong process workers cannot achieve or cannot go so far from their starting point. #he main ob1ective is to motivate the workers, because b+ motivating them compan+ can push them in the right direction and then the+ can catch their main target. ,So2a 3e++i$a- Seiden Sa&&'1 Robert Ba$a& ,.///1 de ined *er orman$e Management as< 4"n progress statement process, undertaken in partnership, between an worker and his or her immediate manager that involves establishing clear e,pectations and accepting about the 1obs to be done6. 4Performance management is the main wa+ b+ which compan+ ensures a line of vision among tactical aims and separate movement and behaviors. It is regarding creating a lineAof vision between what the individual does and what the organi-ation needs6 %BIP;, :!!9'.

In business the entire worker gets the chance to prove their performance. Performance management makes a diagram for individual works towards ob1ectives within a set plan. " se2uence of review right through the +ear with the line manager ensure that the individualism monitored, managed, coached and guided in the direction of victorious achievement of those ob1ectives.,Ad$o$k-456Birt!-I5Tri%itt-./7789:;<9:91

Bene it+ o *er orman$e Management $anaging emplo+ee or performance s+stem facilitates the effective deliver+ of strategic and operational goals. #here is a clear and immediate correlation between using performance management programs or software and improved business and organi-ational results. 5or emplo+ee performance management, using integrated software, rather than a spreadsheet based recording s+stem, ma+ deliver a significant return on investment through a range of direct and indirect sales benefits, operational efficienc+ benefits and b+ unlocking the latent potential in ever+ emplo+ees work da+ %i.e. the time the+ spend not actuall+ doing their 1ob'. Benefits ma+ include< Direct Financial Gain

Crow sales .educe costs in the organi-ation &top pro1ect overruns "ligns the organi-ation directl+ behind the B>3Ds goals ;ecreases the time it takes to create strategic or operational changes b+ communicating the changes through a new set of goals

Motivated Workforce

3ptimi-es incentive plans to specific goals for over achievement, not 1ust business as usual Improves emplo+ee engagement because ever+one understands how the+ are directl+ contributing to the organi-ations high level goals

Breate transparenc+ in achievement of goals (igh confidence in bonus pa+ment process

Professional development programs are better aligned directl+ to achieving business level goals

Improved Management Control

5le,ible, responsive to management needs ;ispla+s data relationships (elps audit E compl+ with legislative re2uirement &implifies communication of strategic goals scenario planning Provides well documented and communicated process documentation

Organizational Development In organi-ational development %3;', performance can be thought of as "ctual .esults vs. ;esired .esults. "n+ discrepanc+, where "ctual is less than ;esired, could constitute the performance improvement -one. Performance management and improvement can be thought of as a c+cle<

Performance planning where goals and ob1ectives are established Performance coaching where a manager intervenes to give feedback and ad1ust performance

Performance appraisal where individual performance is formall+ documented and feedback delivered

" performance problem is an+ gap between ;esired .esults and "ctual .esults. Performance improvement is an+ effort targeted at closing the gap between "ctual .esults and ;esired .esults. 3ther organi-ational development definitions are slightl+ different. #he 7.&. 3ffice of

Personnel $anagement %3P$' indicates that Performance $anagement consists of a s+stem or process whereb+<

8ork is planned and e,pectations are set Performance of work is monitored &taff abilit+ to perform is developed and enhanced Performance is rated or measured and the ratings summari-ed #op performance is rewarded

Performance Appraisal

"I know the price of success: dedication, hard work and an unremitting devotion to the things you want to see happen." Frank Lloyd Wright

A performance appraisal is a review and discussion of an employee's performance of assigned duties and responsibilities. The appraisal is based on results obtained by the employee in his/her job, not on the employee's personality characteristics. The appraisal measures skills and accomplishments with reasonable accuracy and uniformity. t provides a way to help identify areas for performance enhancement and to help promote professional growth. t should not, however, be considered the supervisor's only communication tool. !pen lines of communication throughout the year help to make effective working relationships. "Everything depends upon e ecution! having "ust a vision is no solution." # $tephen $ondheim 9

"ach employee is entitled to a thoughtful and careful appraisal. The success of the process depends on the supervisor's willingness to complete a constructive and objective appraisal and on the employee's willingness to respond to constructive suggestions and to work with the supervisor to reach future goals.

Performance appraisal process

"stablishing #erformance $tandards% A performance standard is a management&approved e'pression of the performance threshold(s), re*uirement(s), or e'pectation(s) that must be met to be appraised at a particular level of performance. A +ully $uccessful (or e*uivalent) standard must be established for each critical element and included in the employee performance plan. f other levels of performance are used by the appraisal program, writing standards for those levels and including tem in the performance plan is not re*uired by is encouraged so that employees will know what they have to do to meet standards higher than +ully $uccessful.

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+ig% #rocess of #erformance Appraisal

,ommunicating the $tandards% !nce set, it is the responsibility of the management to communicate the standards to all the employees of the organi-ation. The employees should be informed and the standards should be clearly e'plained to the employees. This will help them to understand their roles and to know what e'actly is e'pected from them. The standards should also be communicated to the appraisers or the evaluators and if re*uired, the standards can also be modified at this stage itself according to the relevant feedback from the employees or the evaluators.

.easuring performance% #repare% /0 dept should prepare all materials, notes agreed tasks and records of performance, achievements, incidents, reports etc anything pertaining to performance and achievement.

nform the appraisee% 1 To ensure the appraisee is informed of a suitable time and place and clarify purpose and type of appraisal.

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1 2ive the appraisee the chance to assemble data and relevant performance and achievement records and materials.

0eview and measure /0 dept and managers / supervisors review the activities, tasks, objectives and achievements one by one, keeping to distinct separate items one by one.

Agree an action plan 1 An overall plan should be agreed with the appraisee, which should take account of the job responsibilities and review strengths and weaknesses. 1 The plan can be staged if necessary with short, medium and long term aspects, but importantly it must be agreed and realistic.

,omparing with desired criteria 1 The actual performance is compared with the desired or performance criteria. 1 The result can show the actual performance being more than the desired performance or, the actual performance being less than the desired performance depicting a negative deviation in the organi-ational performance. 3iscussing results The result of the appraisal should be communicated and discussed with the employees. 1 The feedback should be given with a positive attitude as this can have an effect on the employee4s future performance. 1 The purpose of the meeting should be to solve the problems faced and motivate the employees to perform better.

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1 The results, the problems and the possible solutions are discussed with the aim of problem solving and reaching consensus.

U+e o A""rai+a& Met!od+ and 4orm+ #he formal performance appraisal usuall+ involves the use of a standard form developed b+ the (. department to measure emplo+ee performance. "gain, 4If +ou can0t measure it, +ou can0t manage it.6 #he assessment should be as ob1ective as possible, not sub1ective. >mplo+ees need to know the standards and understand what good performance looks like, and the+ need to be able to measure their own performance. If the appraisal form that has sub1ective sections, work with emplo+ees to develop clear accurate standards. >,hibit FA: lists the commonl+ used performance appraisal measurement methods and forms and displa+s them on a continuum based on their use in administrative evaluative and developmental decisions. In the following section, we discuss each of them, starting with the developmental methods and working toward the evaluative.

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Ranking Method #he ranking method is a performance appraisal method that is used to evaluate emplo+ee performance from best to worst. #here often is no actual standard form used, and we don0t alwa+s have to rank all emplo+ees. $anagers have to make evaluative decisions, such as who is the emplo+ee of the month, who gets a raise or promotion, and who gets laid off. &o when we have to make evaluative decisions, we generall+ have to use ranking. (owever, our ranking can, and when possible should, be based on other methods and forms. .anking can also be used for developmental purposes b+ letting emplo+ees know where the+ stand in comparison to their peersGthe+ can be motivated to improve performance. 5or e,ample, when one of the authors passes back e,ams, he places the grade distribution on the board. It does not in an+ wa+ affect the current gradesGbut it lets students know where the+ stand, and he does it to motivate improvement. 7nder the ranking method, the manager compares an emplo+ee to other similar emplo+ees, rather than to a standard measurement. "n offshoot of ranking is the forced distribution method, which is similar to grading on a curve. Predetermined percentages of emplo+ees are placed in various performance categories, for e,ample, e,cellent, H@ above average, 1 H@ average, *!H@ below average, 1 H@ and poor, H. #he emplo+ees ranked in the top group usuall+ get the rewards %raise, bonus, promotion', those not at the top tend to have the reward withheld, and those at the bottom sometimes get punished.

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Graphic Rating Scale Form #he graphic rating scale form is a performance appraisal checklist on which a manager simpl+ rates performance on a continuum such as e,cellent, good, average, fair, and poor. #he continuum often includes a numerical scale, for e,ample from 1 %lowest performance level' to %highest performance level'. &elfA"ssessment and &kill Builder FA1 uses a graphic rating scale form@ it is found at the end of this chapter. 8h+ and when do we use the graphic rating scale formI Craphic rating scales are probabl+ the most commonl+ used form during the formal performance appraisal %primaril+ for evaluative decisions', but the+ should lead to development decisions as well. 8h+ the popularit+I Because graphic rating scales can be used for man+ different t+pes of 1obs, the+ are a kind of 4one form 1

fits all6 form that re2uires minimal time, effort, cost, and training. If we walk into an office suppl+ store, we can find pads of them. But on the negative side, graphic rating scales are not ver+ accurate measures of performance because the selection of one rating over another, such as an e,cellent versus good rating, is ver+ sub1ective. 5or e,ample, think about professors and how the+ measure performance with grades. &ome give lots of work and few "s, while others give less work and almost all "s.

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Behaviorally nchored Rating Scale !B RS" Form #he Behaviorall+ "nchored .ating &cale %B".&' form is a performance appraisal that provides a description of each assessment along a continuum. )ike with rating scales, the continuum often includes a numerical scale from low to high.
8h+ and when do we use the B".& formI #he

answer to wh+ and when is the same as for graphic

rating scales. &o let0s focus on the differences between graphic rating scale and B".& forms. B".& forms overcome the problem of sub1ectivit+ b+ providing an actual description of the performance for each rating along the continuum, rather than one simple word %e,cellent, good, etc.' like graphic rating scales. " description of each level of performance makes the assessment a more ob1ective accurate measure. &o if B".& forms are more accurate, wh+ aren0t the+ more commonl+ used than graphic rating scale formsI

It0s partl+ economics and partl+ e,pertise. "gain, the graphic rating scale can be used for man+ different 1obs, but B".& forms have to be customi-ed to ever+ different t+pe of 1ob. "nd developing potentiall+ hundreds of different B".& forms takes a lot of time %which costs mone+' and e,pertise. >ven when a firm has an (. staff, the 2uestion becomes whether developing B".& forms is the most effective use of staff members0 time. 3bviousl+, it depends on the t+pes of 1obs being evaluated and the resources available to complete the evaluation process.

1F

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#arrative Method or Form #he narrative method or form re2uires a manager to write a statement about the emplo+ee0s performance. #here often is no actual standard form used, but there can be a form, so narrative can be a method or a form.
8h+ and when do we use the narrative method or formI " narrative

gives managers the opportunit+ to

give their evaluative assessment in a written form that can go be+ond a simple 4check of a bo,6 to describe an assessment item. $anagers can also write up a developmental plan of how the emplo+ee will improve performance in the future. /arratives can be used alone, but are often combined with another method or form. "lthough the narrative is ongoing, it is commonl+ used during the formal review.

Management $y O$%ective& !MBO" Method #he $anagement b+ 3b1ectives %$B3' method is a process in which managers and emplo+ees 1ointl+ set ob1ectives for the emplo+ees, periodicall+ evaluate performance, and reward according to the results. "lthough it is a threeAstep process, no standard form is used with $B3, so it is a method. $B3 is also referred to as work planning and review, goals management, goals and controls, and management b+ results.
8h+ and when do we use the $B3 methodI #he

$B3 method is one of the best methods of developing

emplo+ees. )ike critical incidents, emplo+ees get ongoing feedback on how the+ are doing, :!

usuall+ at scheduled interval meetings. 8e can use the $B3 method successfull+ with our emplo+ees if we commit to the process and trul+ involve emplo+ees rather than tr+ing to make them believe that our ob1ectives are theirsGaccurate measures. 3n an organi-ationAwide basis, $B3 is not too commonl+ used as the sole assessment method. It is more commonl+ used based on the evaluative assessment during the development part of the performance appraisal. 3ne difficult part of $B3 is that in man+ situations, most, if not all, emplo+ees will have different goals, making $B3 more difficult and timeAconsuming than using a standard assessment form.

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Critical Incident& Method #he critical incidents method is a performance appraisal method in which a manager keeps a written record of positive and negative performance of emplo+ees throughout the performance period. #here is no standard form used, so it is a method. (ere, and for each of the other methods and forms, let0s answer two 2uestions< 8h+ and when is it used, and how is it usedI
8h+ and when do we use the critical incidents methodI $ost formal

reviews take place onl+ once or

twice a +ear. ;o +ou want to wait for formal reviews to talk to emplo+ees about what the+ are doing well and when the+ are not performing up to e,pectationsI 3f course +ou want to let them know how the+ are doing on an ongoing basis. "lso, let0s sa+ we are a manager with 1: emplo+ees. Ban we remember ever+thing each of them did well, and when the+ messed up, and on what dates, so we can evaluate their total performance for the past *J1: monthsI Ker+ few, if an+, of us can sa+ +es. (owever, man+ managers don0t keep a record of critical incidents, which leads to problems of accurate measures during the formal review meeting. 8e use critical incidents to do a good assessment of the entire review period, and we coach when needed during the entire review period for developmental decisions. 8e need to continuall+ conduct informal coaching and disciplining when needed as we make notes of critical incidents to use during the formal review. 8ith clear standards and coaching, +ou can minimi-e disagreements over performance during the formal performance appraisal because there are no surprises, because emplo+ees know what is coming. "lthough critical incidents are commonl+ used for developmental decisions, the+ are also used for evaluative decisions. 5or legal purposes, a list of documented critical incidents is especiall+ important to have leading up the evaluative decision of firing emplo+ees.

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A""roa$!e+ to *er orman$e Mea+(rement Performance measurement has become so widespread that it is impossible to know all that is taking place within governments across the world. "lso, the labels and the focus of performance measurement s+stems shift, usuall+ when a new government takes office. Positive, actionA oriented words are usuall+ chosen as names for such s+stems G D$easuring 7pD in "lberta, the D3regon BenchmarksD, the D$innesota $ilestonesD and DBest KalueD in the 7nited Lingdom. ;espite such inspirational language, some of the earl+ leading performance measurement s+stems have recentl+ been reduced in scope or dropped entirel+. Leeping track of the rise and fall of performance measurement s+stems is made somewhat easier b+ the Internet %government websites, onAline reports and electronic 1ournals' but the problem has become information overload and knowing what credibilit+ should be assigned to the Mofficial0 descriptions, given that governments are interested in promoting the best possible reputation for their efforts. 'he Behavioral pproach (uman behavior is learned, thus all behavior can be unlearned and new behaviors learned in its place. Behaviorism is concerned primaril+ with the observable and measurable aspects of human behavior. #herefore when behaviors become unacceptable, the+ can be unlearned. Behaviorism views development as a continuous process in which children pla+ a relativel+ passive role. It is

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also a general approach that is used in a variet+ of settings including both clinical and educational. Behaviorists assume that the onl+ things that are real %or at least worth stud+ing' are the things we can see and observe. 8e cannot see the mind, the id, or the unconscious, but we can see how people act, react and behave. 5rom behavior we ma+ be able to make inferences about the minds and the brain, but the+ are not the primar+ focus of the investigation. 8hat people do, not what the+ think or feel, is the ob1ect of the stud+I )ikewise the behaviorist does not look to the mind or the brain to understand the causes of abnormal behavior. (e assumes that the behavior represents certain learned habits, and he attempts to determine how the+ are learned. #he material that is studied is alwa+s behavior. Because behaviorists are not interested in the mind, or its more rarified e2uivalents such as ps+che and soul, inferences about the conditions that maintain and reinforce human behavior can be made from the stud+ of animal behavior. "nimal research has provided a ver+ important foundation for the behavioral approach. #he behavioral researcher is interested in understanding the mechanisms underl+ing the behavior of both normal individuals and those with problems that might be referred as Nmental illnessN. 8hen the behavioral model is applied to mental illness, it tends to be used for a wide variet+ of presenting problems. It is perhaps most effective in treating behavioral disorders and disorders of impulse control, such as e,cessive drinking, obesit+, or se,ual problems. Behavioral approaches ma+ be 2uite useful in treatment of an,iet+ and have occasionall+ been helpful in the management of more severe mental disorders such as. 1. #he link between behaviors and results are not obvious< &ometimes the .elationship between behaviors and the desired out comes is not clear. 5or e,ample< " &alesperson ma+ not be able to close a deal because of downturn in the countr+. :. 3utcomes occur in the distant future< &ometimes the desired result will not be seen for months or even +ears. 5or e,ample< /"&". ?. Poor results are due to causes be+ond the performer0s control< &ometimes the results of an emplo+ee0s performance are be+ond the emplo+ee0s control. 5or e,ample< consider a situation :4

involving two assembl+ line workers@ one of them working the da+ shift and the other the night shift. 'rait pproach "n approach to stud+ing personalit+ that focuses on the e,tent to which individuals differ impersonalit+ dispositions. "n approach to stud+ing personalit+ that focuses on how individuals differ in personalit+ dispositions. " leadership perspective that attempts to determine the personal characteristics that great leaders share. " perspective in which personalit+ is seen as a combination of characteristics that people displa+ over time and across situations. "n approach to stud+ing personalit+ that focuses on the e,tent to which individuals differ in personalit+ dispositions. " leadership perspective that attempts to determine the personal characteristics that great leaders share. "ttempts to show that leaders possessed certain characteristics that non readers did not. " perspective on personalit+ that views it as the combination of stable characteristics that people displa+ over time and across situations. Re&(lt&)Oriented pproach #he 5ramework Partnership "greement aims at establishing a longAterm coAoperation mechanism between the Parties, in order to ensure that humanitarian aid is delivered to its beneficiaries in the most appropriate, rapid, efficient and effective manner. 3ne of the main ob1ectives of the 5P" is to optimi-e the implementation and the results of the humanitarian aid actions financed b+ the Bommission and e,ecuted b+ the (umanitarian 3rgani-ation. #he "ctions shall be implemented in accordance with the principles of econom+, efficienc+ and effectiveness. &pecific, measurable, achievable, relevant and timed ob1ectives shall be set out for all "ctions. Performance indicators shall monitor the achievement of those ob1ectives. #his would involve the further development of anal+tical tools on impact %outcome' of humanitarian interventions. #he conse2uences of the results oriented approach are<

&hifting of focus from the financing of inputs to the financing of realistic results. :

.esults based reporting. Increased attention to $onitoring = >valuation.

#he .esult approach is most appropriate under the following circumstances< 1. 8orkers are skilled in the needed behaviors :. Behaviors and results are obviousl+ related. ?. .esults show consistent improvement over time. 4. #here are man+ wa+s to do the 1ob right.

Mea+(ring Re+(&t and Be!a%ior 3ne of the most critical aspects of (.$ is evaluating (.$ methods and measuring their results. >ven the most carefull+ planned and e,ecuted (.$ programs are meaningless without some wa+ to 1udge their effectiveness and confirm their credibilit+. #he evaluation of (.$ methods and programs should include both internal and e,ternal assessments. Internal evaluations focus on the costs versus the benefits of (.$ methods, whereas e,ternal evaluations focus on the overall benefits of (.$ methods in achieving compan+ goals. )arger human resource departments often use detailed, advanced data gathering and statistical anal+sis techni2ues to test the success of their initiatives. #he results can then be used to ad1ust (.$ programs or even to make organi-ational changes. #he authors of (uman .esources $anagement posit four factors, the Nfour Bs,N that should be used to determine whether or not an (.$ department or individual program is succeeding< commitment, competence, costAeffectiveness, and congruence. In testing commitment, the (.$ manager asks to what e,tent policies enhance the commitment of people to the organi-ation. Bommitment is necessar+ to cultivate lo+alt+, improve performance, and optimi-e cooperation among individuals and groups. :*

Bompetence refers to the e,tent to which (.$ policies attract, keep, and develop emplo+ees< ;o (.$ policies result in the right skills needed b+ the organi-ation being available at the proper time and in the necessar+ 2uantit+I )ikewise, costAeffectiveness, the third factor, measures the fiscal proficienc+ of given policies in terms of wages, benefits, and absenteeism, turnover, and laborEmanagement disputes. 5inall+, anal+sis of congruence helps to determine how (.$ policies create and maintain cooperation between different groups within and outside the organi-ation, including different departments, emplo+ees and their families, and managers and subordinates. In addition to advanced data gathering and anal+sis techni2ues, several simple observations can be made that provide insight into the general effectiveness of a compan+Ds human resources. 5or e,ample, the ratio of managerial costs to worker costs indicates the efficienc+ of an organi-ationDs labor force. In general, lower managerial costs indicate a more empowered and effective workforce. .evenues and costs per emplo+ee, when compared to related industr+ norms, can provide insight into (.$ effectiveness. 5urthermore, the average speed at which 1ob vacancies are filled is an indicator of whether or not the organi-ation has ac2uired the necessar+ talents and competencies. 3ther measures of (.$ success include emplo+ee complaint and customer satisfaction statistics, health insurance and workersD compensation claims, and independent 2ualit+ ratings. In addition, the number of significant innovations made each +ear, such as manufacturing or product breakthroughs, suggests (.$Ds success at fostering an environment that rewards new ideas and is amenable to change. Besides evaluating these internal aspects of (.$ programs, companies also must assess the effectiveness of (.$ programs b+ their impact on overall business success. In other words, companies must link their evaluation of (.$ methods with compan+ performance to determine whether these methods are helping their business b+ increasing 2ualit+, reducing costs, e,panding market share, and so forth. 7ltimatel+, companies must make sure that the+ have the right amount of properl+ skilled emplo+ees performing tasks necessar+ for the attainment of

:7

compan+ goals and those greater revenues and profits result from (.$ efforts to increase the workforce and improve worker training and motivation. )!o S!o(&d A++e++ *er orman$e= /ow that we0ve learned the wh+, what, and how of the performance appraisal process, the ne,t thing we need to discuss is options for the rater, or evaluator. #here are a number of different options concerning who should evaluate the individual emplo+ee, and the decision needs to be based on a series of factors. )et0s take a look at our options for who should evaluate an emplo+ee. S(pervi&or 8hen we ask who should evaluate emplo+ees, the most common response is their immediate supervisor. 8h+ would the supervisor be the best person to evaluate an emplo+eeI 8ell, the supervisor is supposed to know what the emplo+ee should be doing, rightI Bertainl+, supervisors are fre2uentl+ one of the best and most commonl+ used options to choose as evaluators for the emplo+ees under their control. (owever, this is not alwa+s the case due to problems with supervisor performance assessments.
Problems with supervisor evaluations< 8hat

if the supervisor doesn0t see the emplo+ee ver+

fre2uentl+I #his ma+ not be all that uncommon in a modern organi-ation. $an+ times toda+, supervisors ma+ be in a different building or even a different cit+ than the individuals the+ supervise. Kirtual teams, InternetAlinked offices, telecommuting, and other factors cause supervisors to not be in constant touch with their emplo+ees, unlike the situation :! or ?! +ears ago. #here are other problems as well. 8hat if there0s a personalit+ conflictI &upervisors are human, 1ust like their emplo+ees, and ma+ 1ust not relate well to some of their emplo+ees. #his ma+ cause a personal bias for, or against, certain emplo+ees that ma+ invalidate the appraisal process if it0s significant enough. 8hat if the supervisor doesn0t know what emplo+ees are supposed to be doing in their 1obsI "ren0t supervisors alwa+s supposed to know ever+ 1ob for which the+ are responsibleI "gain, ?! +ears ago this ma+ have been true. (owever, in toda+0s work environment, with the amount of :F

information necessar+ to do the comple, tasks that organi-ations must accomplish in order to compete, nobod+ can know ever+ 1ob. #here0s 1ust too much information for an+ one individual to learn. &o 1obs have been segmented down into smaller and smaller areas, and the supervisor ma+ not know each of those 1obs in great detail. &o there are certainl+ problems that can occur in the case of a supervisor being responsible for a subordinate emplo+ee0s evaluation process. #his being the case, what other options do we haveI *eer& "s discussed, the supervisor is not alwa+s knowledgeable enough to make a valid assessment of emplo+ee performance. "nother possible option is to use coworkers or peers of the individual emplo+ee as appraisers. 8hen would it be valuable to use peer evaluations in an organi-ationI If the supervisor is absent or has infre2uent contact with the emplo+ees, but all emplo+ees have multiple coworkers that the+ interact with on a fre2uent basis, peer evaluations ma+ be valuable. Peers or coworkers also often know the 1ob of the individual emplo+ee better than the supervisor does, and the+ are more directl+ affected b+ the emplo+ee0s actions, either positive or negative. In addition, peers can evaluate the abilit+ of the individual to interact with others successfull+ in a group or team setting. #his ma+ be ver+ difficult for supervisors to see unless the+ are intimatel+ involved with the group.

S($ordinate& 3ur ne,t available option is the subordinates of an individual supervisor in the firm. 8e would t+picall+ onl+ use subordinate evaluators for managerAlevel emplo+ees. (owever, who within the firm knows, and suffers the conse2uences of, the actions of supervisors more than the people who work for themI &ubordinate evaluations can give us good insight into the managerial practices and potential missteps of people who control other emplo+ees in our organi-ation. "s a result, subordinate evaluations ma+ give us valuable information that we would be unable to find out using an+ other means.

:9

Self &elfAassessment is also an option in the performance appraisal process, or is itI Kirtuall+ all emplo+ees do a selfAassessment whether the+ are actuall+ formall+ asked to do so as part of the assessment or not. It is re2uired with $B3. >ven when not asked to do a selfAassessment, emplo+ees will still walk into the review discussion with some informal selfAassessment that the+ compare to the supervisor0s rating. But are selfAevaluations valuable, or will the emplo+ees overestimate their individual capabilities and tell us that the+0re perfectI %"s +ou know, ever+ chapter of this book has one or more selfAassessments, and the one for this chapter is &elfA "ssessment and &kill Builder, it is at the end of the chapter. Oou will assess +our performance on a group pro1ect. C(&tomer& 8e ma+ also want to ask customers to evaluate individuals within the compan+. 8e use the word customers in a broad sense to include people outside the organi-ation, including customers for our products and services and suppliers to the firm. Bustomers can also be internal including people in other departments of the firmGfor e,ample, the print shop that makes copies for other departments or the mail room that receives and delivers communications and products to the rest of the firm. 8hen and wh+ would we want to use customers in the evaluation processI 8e ma+ want to use customers as evaluators when the individual being evaluated has fre2uent contact with organi-ational customers, either internal or e,ternal to the firm. If emplo+ees interact routinel+ with internal or e,ternal customers, we need to know how the customers feel about their interactions with the emplo+ees because obviousl+ e,ternal customers are the ones who ultimatel+ pa+ the bills. It does not matter what else we do successfull+ if our customers are uncomfortable with their interactions with our emplo+ees. If e,ternal customers are upset about their interactions with our emplo+ees, the+ have the abilit+ to go elsewhere with their business. >ven internal customers can create significant problems within the firm due to conflict between departments or divisions. &o we want to ask customers to evaluate the individuals with whom the+ come into contact.

?!

+,-. /val(ation

A *uite young variant of performance appraisal is 567&degree performance appraisal. According to 8ise (9::;) in the typical 567&degree process, supervisor(s), subordinates, peers and (less fre*uently) internal or e'ternal customers provide feedback on performance for each target rate, using some type of standardi-ed instrument. The rate is then e'pected to use the data, along with a self&rating, to make appropriate changes to improve performance. +rom the viewpoint of the rate 567& degree appraisal thus provides one with a rich, te'tured and multifaceted opportunity to see oneself as others do. $tark et al. (9::;) also believe that a notion of behavioral change might be elicited through a process of enhanced self&awareness. ndividuals are forced into a cognitive process of reflection that ultimately results in greater levels of awareness of their own actions and the conse*uences those actions have on others across various levels in and out of the organi-ation. n terms of methodology, 567&degree appraisal might improve the subjective measurement of performance by supplementing supervisory ratings with those of multiple raters. <ecause of the ma'imum reliability found of supervisory ratings are only 7.6, 0othstein (9::7) concludes that ratings by one rater will not provide ade*uate assessment of performance. "specially the employees possess valid, uni*ue and relevant performance information and insight that is unavailable or unobservable by the rater %&' degree feed(ack form template: This template allows a mi'ture of key skills comprising one, two, three, four, and up to si' elements. The number of elements per key skill/capability varies of course, so if necessary adjust the si-e of the bo'es in the first column accordingly to accommodate more or less elements. $ee the 567 degree appraisals notes for more e'planation about the purpose of each column and heading, and the feedback scoring method. ?1

Insert your own Feedback Form headings and instructions: appraises name, date, feedback respondent name, position (if applicable) plus local instructions and guidelines for completion, etc.

key skill/capability area

skill/capability element

question number 1 : ?

feedback question

feedback score

)ptional section: additional feed(ack a(out the appraises # please (e constructive

360 Evaluation
As a final option, we can do =all of the above.> The 567? evaluation, in effect, analy-es individuals4 performance from all sides@from their supervisor4s viewpoint, from their subordinates4 viewpoint, from customers4 viewpoint (if applicable), from their peers4 viewpoint, and using their own self&evaluation. !bviously, the 567? evaluation would give us the most accurate, best possible analysis of individuals and their performance within the company. 3u#ont developed 567? reviews back in 9:A5, but they are still popular today. 8ith the trend of structuring work in teams, peer evaluations are now being used regularly. Those who fill out the appraisal form usually do so confidentially. The feedback from all these people is used to evaluate and develop the employee.

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Problems with 360 evaluations

f they are the best, then why don4t we always use 567? evaluationsB The simple answer is =time and money.> t takes a significant amount of time for a group of individuals to evaluate one person if we use a 567? format. <y using up so much organi-ational time, it obviously also costs us a significant amount of money. f we multiply the numbers based on the time re*uired to evaluate one individual to count everyone in the organi-ation, the costs can *uickly become massive.

Avoiding problems with 360 degree evaluations

Cnfortunately, there really is no simple way to avoid such problems, besides what is commonly done@not using 567? evaluations. 8hen used, the 567? evaluation format tends to be most valuable if it is used for purposes of individual development, rather than for making administrative evaluative decisions. A good 567? feedback system can provide specific suggestions about how to improve individual competencies.DE t can also go a long way toward minimi-ing some of the most common problems with the performance appraisal process, which we will review ne't.

??

S($$e++ion and Career *&anning #he Performance $anagement process provides valuable information that can be used during succession and career planning. >mplo+ee aspirations can be clarified and where possible incorporated into overall planning of the emplo+eeDs goals and outputs as well as his development plan. Blarification of the managers goals and direction regarding the emplo+ee and his role within the department. Bompilation of formal training and development plans per emplo+ee to ensure the development of the emplo+ee based on the results of the performance evaluation phase of the process. *er orman$e Standard+ and indi$ator+ Performance $anagement focuses on specific valuable outputs that the individual must deliver which is linked to specific goals and standards that must be achieved during the evaluation period. B+ clearl+ defining the outputs, performance standards and performance indicators the subordinate can understand e,actl+ what is e,pected from him. #he impact of the subordinate0s outputs on the department and organi-ation can be e,plained much easier during the planning phase.

?4

COM*ANY *RO4ILE

(abib Bank )imited was established b+ $r. Ismail (abib %)ate' on "ugust : , 194: at Bomba+. It was the first $uslim Bank of the subAcontinent. It was established with a paid up capital of .s. :. million. "t an earl+ stage, the number of its branches was onl+ 1:. In 197?, all the commercial banks were nationali-ed under the Bank /ationali-ation "ct 1974. /ow (abib Bank )imited is the largest commercial bank of Pakistan comprising 9 .egional (ead Puarters, 4: Qones, and 119F branches in the countr+ on ?1st ;ecember 1999. 3verseas operations of (abib Bank )imited comprise * branches, : affiliates, : representative offices and : subsidiaries. #hese branches are in 7.&.", 7.L., Belgium, 5rance, /etherlands, #urke+, Luwait, )ebanon, Iran, Bang&ade+!, Bahrain, >g+pt, 7.".>., (ong Long, 3man, O.".., &udan, /igeria, $ala+sia, &ri )anka, &ingapore, Len+a, &e+chelles, $aldives, Indonesia, $auritius and "ustralia. (abib Bank )td has its registered office at Larachi. In 197* (B) opened its branch in Bangladesh. (ere it has branches, ? in ;haka such as one is $oti1heel = other two in Culshan, head office also in Culshan. "nother two branches in Bhittagong = &+lhet. 5or worldwide network e,pansion = better business prospectus in Bangladesh (B) establish their branch in Bangladesh. In our countr+ this bank is a foreign commercial bank and provides corporate banking services, such as cash management and Islamic banking. 8hen the+ start their 1ourne+ in Bangladesh their mission was 4#o make our customers prosper, our staff e,cels and creates value for shareholders6 = vision was 4>nabling people to advance with confidence and success6 still their mission = vision is same. 5rom 197* to :!!7 the+ had two branches in Bangladesh, emplo+ee was *! = emplo+ee turnover rate was !H. 5rom 199 to :!!4 it e,panded ?H and the current growth rate is H. #ill :!!4 it was Pakistani government bank after :!!4 it become private bank = organi-ation downsi-ed their emplo+ee according to their skill. It means those who were unskilled organi-ation retrench them = hire skilled ?

emplo+ee. "fter :!!7 this bank e,panded their business = opened ? more branches. /ow the+ are planning to open more branches among them : branches this +ear and more ? branches is going to open in the ne,t +ear. Brand 3ur brand identit+ is the outward e,pression of what we stand for as an organi-ation. #his is summari-ed in our vision, mission and is supported b+ our values. Vi+ion 4>nabling people to advance with confidence and success6 Mi++ion 4#o make our customers prosper, our staff e,cel and create value for shareholders6 Va&(e+ 3ur values are the fundamental principles that define our culture and are brought to life in our attitudes and behavior. It is our values that make us uni2ue and unmistakable. 3ur values are defined below< /0cellence #his is at the core of ever+thing we do. #he markets in which we operate are becoming increasingl+ competitive, giving our customers an abundance of choice. 3nl+ through being the ver+ best A in terms of the service we offer, our products and premises A can we hope to be successful and grow. Integrity 8e are the leading bank in Pakistan and our success depends upon trust. 3ur customers A and societ+ in general A e,pect us to possess and steadfastl+ adhere to high moral principles and professional standards. C(&tomer Foc(& 8e understand full+ the needs of our customers and adapt our products and services to meet these. 8e alwa+s strive to put the satisfaction of our customers first. ?*

Meritocracy 8e believe in giving opportunities and advantages to our emplo+ees on the basis of their abilit+. 8e believe in rewarding achievement and in providing firstAclass career opportunities for all. *rogre&&ivene&& 8e believe in the advancement of societ+ through the adoption of enlightened working practices, innovative new products and processes, and a spirit of enterprise. %(abib Bank limited'

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*er orman$e Management and A""rai+a& a+ a )!o&e

>valuating an emplo+ee0s current and past performance relative to its performance standards is called performance appraisal. " process that consolidates goal settings, performance appraisal, and development into a single common s+stem to ensure that emplo+ee0s performance is according to compan+0s aims is called performance management.

*er orman$e Management and A""rai+a& at HBL

(B)0s performance management and reward s+stems ensure that goals are met in an effective and efficient manner. (B) defines a clear path for +ou to contribute to the organi-ation0s overall goals, prepared with regular reviews and feedback to help in measuring progress. "t (B) growth is not a function of time but rather of performance. "s emplo+ee0s performance improves, the role that he pla+s within the organi-ation accelerates to reflect his input. (B) generall+ uses B".& %Behaviorall+ "nchored .ating &cale' it is an appraisal method that uses 2uantified scale with specific narrative e,amples of good and poor performance.

*er orman$e A""rai+a& orm o HBL (B)0s performance appraisal form contains two sheets, one is 53.$ B: and other is 53.$ B?. FORM B1 contains appraisal for Blerical staff at branch or 5ield 3ffices there are two main headings "reaEfactors and level of achievement points. )evel of achievement point contains five points ratings " %4', B %?', B %:', ; %!A1' and /E".".>"Efactors contains five kind of factors which are< 9"A Productivit+ "rea "AProductivit+ Bontains< 1.Rob knowledge :.#; clearingEBills )edger Posting ?.#imel+ )odgment of Blearing 4.5ollowed .eturn unpaid che2ues ./othing of &top Pa+ment Instruction ?F

*.Kolume of 8ork (andled 7."ccurac+= "ttention to ;etail F.8illingness= "bilit+ to work with other unitsEpeople 9."bilit+ to write >ffectivel+ 1!."doptabilit+ of new assignments 11.;eposit $obili-ation EsavingEcurrent BP;B etc 1:./umber of fresh account arranged 1?. .eduction in customer complaint 14.(a11 application target 1 .#imel+ Balancing of branch ledgerEbooks etc 1*."ccurac+ in countingEcash handling = counting speed 17..eceiving of pa+ments of utilities 1F.;ispatch of re2uisite statements 19.$aintenance of guns in order :!.Qero theft :1.;eliver+ of letterE ;ak in time ::.Pualit+ of work :?.&peed of work :4.5iling and record keeping : .#+pingEdata entr+ speed :*.#+pingEdata entr+ accurac+

9BA Individual attributes< BAIndividual "ttributes contains< 1.ProfessionalEtechnical knowledge = competenc+ :.Initiative %eagerness to learn, enlarge knowledge' ?..eaction to responsibilit+ 4.&ense of responsibilit+ .3ral communication "bilit+ *.8ritten communication abilit+ 7.&orting of notes F.Bash e,cessEshortage situation 9.Performing under pressure 1!."bilit+ to work without supervision 11.8illing to work after office hours.

9BA #echnolog+< BA #echnolog+ contains 1. Lnowledge of computer :. Lnowledge of internet = >Amail

9;A Bustomer &ervice< ;A Bustomer contains 1. Bourtes+ to Bustomer :. .apport with customer ?. Breative response to customer needs 4. Business sense %ma,imum revenueE minimum cost' ?9

9>A Personal >ach area is further categori-ed in different factors. >APersonal contains 1. (ealth= energ+ :."ppearance ?.Integrit+= lo+alt+ 4.Crooming .$anner of speech *."ttitude 7.Intelligence F.)eave record 9."ttendance record 1!.Punctualit+ >ach factor is marked tick against level of achievement and in the end total points scored is written in the specific bo,. "lso the signatures of appraise and appraiser are taken.

FORM B+ #his form contains two big bo,es5 4ir+t bo, is about ;evelopment PlanE &upervisor comments. In this bo, supervisor gives comments about appraisee strengths and further "ppraisee0s development needs %need to improve academic = professional 2ualification'.&econd bo, is called overall assessment bo,. In this bo, appraiser gives the overall performance grade to appraisee according to B: form and the grade is given in form of ", B, B, ;. #hen comments of appraisee is also taken in form of agreeEdisagree. #hen overall assessment is reviewed b+ reviewer and reviewer gives its comments too, but it is not necessar+. "fter it final acceptance of appraisee is also taken along with signatures. 5ollowing is some brief detail about appraisal areas "AProductivit+< Productivit+ is actuall+ about the performance of emplo+ee in the clerical field. It indicates that how much effectivel+ and efficientl+ an emplo+ee performs its dut+ and how much emplo+ee is committed with the achievement of organi-ational goals and ob1ective. 5ollowing factors of Productivit+ are defined briefl+@ Rob Lnowledge< It is first and basic factor of productivit+. #his factor shows that how much emplo+ee has awareness about hisEher 1ob.

4!

#; BlearingEBill ledger posting< #his productive factor indicates the abilit+ of emplo+ee about ledger posting of (B). (is shows how much an emplo+ee is e,pert and clear in indicating or posting of ledger regularl+. #imel+ )odgment of Blearing< #his is the 1ob in which the emplo+ee of (B) is to present the che2ues of other banks, which are given b+ customers for depositing in their accounts in the &tate Bank before 1! o0clock. In this assessment it is determined whether emplo+ee is punctual in presenting che2ues to &tate Bank in the specific time. 5ollow .eturn 7npaid Bhe2ue0s In this 1ob the emplo+ee is to return the unpaid che2ues to the bank before ? pm which are re1ected b+ &tate Bank due to some incompleteness like absence of signatures, inefficient mone+ in the account of customers or other reasons cause refusal of che2ues b+ &tate Bank. In performance appraisal it is assessed that whether emplo+ee is fulfilling his 1ob well or not and on the basis of his performance he is given points. /oting of &top Pa+ment Instruction In this 1ob emplo+ee notes the stop pa+ment instruction due to lose of che2ues b+ customer. If customer loses hisEher che2ues then heEshe has to tell about lost che2ues to the branch of (B) and in response the emplo+ee is to note down the stop pa+ment and also feed this information in the computer for database record in order to restrict misuse of the lost che2ues. Kolume of 8ork (andled In this assessment it is noted that how much volume of task or work is being handled b+ emplo+ee and on the basis of volume of work handled the emplo+ee gets points of achievement against the block in appraisal form. "ccurac+ = "ttention to ;etail In this 1ob it is indicated that how much an emplo+ee is attentive and accurate in noting down the 1ob whether heEshe is performing at desired level or not.

41

8illingness and "bilit+ to 8ork with 3ther PeopleE7nit In this section it is noted that how much the emplo+ee is willing and how much heEshe has the abilit+ and 2ualit+ to perform well in the group of people or unit and it is determined is heEshe is able to perform in the group or not if a group task or assignment is given. "bilit+ to 8rite >ffectivel+ In this assessment it is noted that how much emplo+ee has effective skills of writing which matters in reporting or hand written application. "doptabilit+ of new "ssignments In this 1ob it is determined how much emplo+ee is able adopt new assignments related to hisEher 1ob. ;oes heEshe have abilit+ to adopt new challenges in hisEher 1obI ;eposit $obili-ationE&avingEBurrent BP;B etc In this factor it is assessed that how much the emplo+ee is responsible for depositing certificates of saving, current and BP;B %Brore Pati ;eposit Bertificate' purchased b+ customers. /umber of 5resh "ccount "rranged In this 1ob the emplo+ee is to arrange new accounts b+ feed the data in the database s+stem and issuing che2ues books. In this assessment it is appraised that how much the emplo+ee has arranged newl+ opened accounts and on the basis of number the emplo+ee is granted with grade on the appraisal sheet. .eduction in Bustomer Bomplaint #his 1ob is related with customer service member. In appraisal it is defined how man+ complaints of customers are reduced b+ emplo+ee. (a11 "pplication #arget #his 1ob is related with Islamic Banking section of (B). >ach emplo+ee is given with the target of submission (a11 application. 3n the basis of submitted target (a11 application emplo+ee gets point ratings on appraisal form.

4:

#imel+ Balancing of Branch )edgerEbooks< In this 1ob emplo+ee has to balance the branch ledger on the dail+ basis. 3n the basis of balancing of ledger in time the emplo+ee is given grade points on appraisal sheet. "ccurac+ in countingEcash handling = Bounting speed #his determines that how much emplo+ee is able to count or handle the cash efficientl+ and how fast cash is counted b+ the emplo+ee. ;ispatch of .e2uisite &tatements In the bank the emplo+ee of related 1ob is to dispatch the balanced )edgerEBooks, financial statements and number of accounts before authorit+ of branch on monthl+ basis. 8hile appraising emplo+ee it is defined that how much heEshe is efficient and punctual in hisEher 1ob $aintenance of Cuns in 3rder In this assessment it is determined that how much the emplo+ee is active in performing the order of hisEher head. #he obedience of the emplo+ee to hisEher head in the bank task is counted in this assessment. Qero #heft In assessment the emplo+ee is assessed according to handling of hisEher honest+ in hisEher 1ob. It is counted that how much heEshe has been committed with theft in performing 1ob. ;eliver+ of )etterE;ak in #ime #his 1ob is about the deliverer of letterE;ak to the one bank to other banks, one branch to other branches of (B) and dispatch of che2ues to &tate Bank. #he emplo+ee is graded with points according to punctualit+ in deliver+ in the appraisal form. Pualit+ of 8ork In this assessment the emplo+ee is given with grade points according to 2ualit+ of hisEher performance in hisEher specific 1ob.

4?

&peed of 8ork In the assessment of 1ob this factor shows that how much fast and efficient an emplo+ee is in performing hisEher task related to hisEher field. 5iling and .ecord Leeping In this 1ob the emplo+ee is to file and record the data of customer for database. "ccording to effectiveness of record keep emplo+ee gets points in appraisal form. #+pingE;ata >ntr+ &peed #his is about computeri-ed record keeping. In this factor it is assessed that how much the emplo+ee has speed in t+ping data. #+pingE;ata >ntr+ "ccurac+ In record keeping it is noted that how much accurate the emplo+ee is in t+ping data for database.

BAIndividual "ttributes< #his area of factor is about the emplo+ee0s attribute or properties in performing 1ob. 5ollowings are factors of individual attributes@ ProfessionalE#echnical Lnowledge = Bompetenc+ In this attribute it is checked that how much the emplo+ee has professional skills about hisEher 1ob and how much heEshe is competent has technical knowledge about hisEher 1ob in the bank. Initiative %>agerness to )earn, >nlarge Lnowledge' In this factor it is noted that how much emplo+ee is eager to learn new thing about 1ob and how much heEshe is interested in enlarging knowledge of 1ob. Initiative factor is ver+ important in 1ob field because initiate new task in the field is good attribute of professional emplo+ee. .eaction to responsibilit+< In this attribute it is assessed that how the emplo+ee reacts when some responsibilit+ is given to him, it is noted whether heEshe reacts warml+ and professionall+ or considers new responsibilit+ as a burden. 44

&ense of .esponsibilit+ In this attribute it is assessed that how the emplo+ee takes the responsibilit+ whether takes it professionall+ and serious or carelessl+. 3ral Bommunication "bilit+ In this factor it is assessed that how much emplo+ee has abilit+ to communicate orall+ with the customers and head. &peaking skills are counted in this appraisal. 8ritten Bommunication "bilit+ In this attribute the abilit+ and writing skills of emplo+ee is assessed. &orting /otes In this factor the abilit+ of sorting and handling of currenc+ notes are 1udged. It is assessed that whether emplo+ee is sorting notes according to se2uence. Bash >,cessE&hortage &ituation Bash handling is noted in this factor. It is a negative appraisal. &ome time emplo+ee gives or receives more or less amount b+ customers, if heEshe gives more than real amount then heEshe has to compensate this mone+ from hisEher own pocket. Performing 7nder Pressure In this factor the performance of emplo+ee is assessed under pressure situation. It is checked that how much heEshe is capable and confident to perform under pressure circumstances. "bilit+ to 8ork without &upervision In this factor it is checked that how much the emplo+ee is able to perform hisEher dut+ efficientl+ without supervision and it is also assessed that whether supervisor has to keep e+e on hisEher to get the work one. 8illing to 8ork "fter 3ffice (ours In this factor it is noted that how much emplo+ee is dedicated towards hisEher 1ob even after office hours.

BA#echnolog+< #his is the area of appraisal in which the capabilit+ of using of technolog+ of emplo+ee is assessed. 5ollowings are ma1or factors of area of technolog+ Lnowledge of Bomputer #he knowledge of using of computer is counted in this factor. Lnowledge of >Amail = Internet< #he knowledge of internet, sendingEreceivingA is assessed in this factor of technolog+ area.

;ABustomer &ervice< #his is the area of appraisal in which the motivational and dedicated level of emplo+ee toward customer service is assessed. 5ollowings are factors of this area@ Bourtes+ to Bustomers In this factor of customer service area it is assessed that how much emplo+ee is courteous towards customers, whether heEshe is deals with customers politel+ or harshl+. .apport with Bustomer In this factor it is assessed that whether emplo+ee cashes the che2ues of customer within time or heEshe makes customers wait due to hisEher personal gossips etc. Breative .esponse to Bustomer0s /eeds In this factor it is 1udged that how creativel+ and professionall+ the emplo+ee responses to customer0s needs regarding banking s+stem. Business sense< #his factor determines the sense of emplo+ee regarding business that whether heEshe knows about economic terms and their uses. >A Personal< #his is the area in which personalit+ of emplo+ee is evaluated. 5actors of this area are as following@

4*

(ealth = >nerg+< In this factor of personal area ph+sical and mental health of emplo+ee is evaluated and also the use energ+ of performing in 1ob. "ppearance< In this factor the appearance of emplo+ee is counted. #he dress code and manner of dressing is assessed. Integrit+ and )o+alt+< In this factor the lo+alt+ and integrit+ of emplo+ee is assessed. #he dedication and commitment of emplo+ee while performing dut+ is counted. (onest+ and faithfulness with 1ob and compan+ is also assessed. Crooming In this factor the development and grooming of emplo+ee0s personalit+ is counted. $anner or &peech In this factor of personalit+ the manner of speech or manner of talking to others are assessed. $anner of speech should be polite and understandable. "ttitude In this factor the emplo+ee gets point on the basis of positive and professional attitude in hisEher personal life. Intelligence In this factor of personalit+ the intelligence of emplo+ee is evaluated. "ttendance recordE)eave .ecordEPunctualit+ #he emplo+ee is given grade points on the basis of regular and timel+ attendance according to time table.

47

CONCLUSION

8e received almost all these information from the (B) personnel, their website, and a 2uestionnaireA to measure impact of various (. practices on emplo+ee performance. #he response as re2uired on five point scales %endpoints< 1 S strongl+ disagree, to S strongl+ agree'. 5rom the 5ace to face conversation, website, different articles and Puestionnaire the impact of (. practices %Bompensation Practice, Promotion Practice, and Performance >valuation &+stem' on the emplo+ee of (B), Bangladesh have given us a chance to conclude that@

#he criteria of performance 2uantification lack skills = techni2ues which is affecting the performance of emplo+ee in (B), Bangladesh where as in other countries it do not.

#he pa+ difference between the different hierarchical levels is a frustrated factor among the emplo+ees of (B) in different countries.

#he presence of bureaucrac+ s+stem is affecting the performance of emplo+ee.

Rob securit+ is a ma1or factor of dissatisfaction

;elegation of authorit+ lacks which promotes sub1ectivit+ instead of ob1ectivit+

(. department lacks professional "nal+st.

4F

#he low morale of upper management affecting the overall efficienc+ of the emplo+ees of (B), Bangladesh.

Bompensation ;iscrimination was observed and it varies countr+ to countr+.

49

RECOMMENDATION

"fter anal+-ing the overall appraisal s+stem of (abib Bank )imited we got different view from our theoretical knowledge in some e,tent and it helped to develop our clinical and anal+tical skills. "ccording to our little e,posure in this organi-ation we are providing some proposal that might help the organi-ation to go a long wa+ overcoming some of their upcoming problems regarding performance management<

(B) is Pakistan0s largest bank, In Bangladesh the+ are competing with all local and International banks so as before the+ should continue focusing on the best performance and ensure 2ualit+ service to sustain and e,pand their business.

$a,imum authorit+ of this bank is centrall+ controlled from Pakistan that0s wh+ although being in managerial level emplo+ees feel lack of authorit+. &o, the delegation of authorit+ should be adopted in (B), Bangladesh.

.el+ing solel+ on sub1ective perceptions of personalit+ can increase the risk of an e,pensive discrimination that could provide negative impression toward the organi-ation from an emplo+ee0s perspective. &o, in (B) an emplo+er who makes a decision have to be careful and 3b1ectivit+ should be promoted instead of &ub1ectivit+.

Performance 2uantification methods should be improved and should and includes better techni2ues and skills.

#here should be less Pa+ &cale difference between the different (ierarchical levels in (B), Bangladesh. "lmost all the emplo+ees of (abib Bank Bangladesh branch have a grievance on their pa+ment of salar+ when the+ compare it with other branches of the world. #his t+pe of discrimination increase low morale among emplo+ees that directl+ affect emplo+ee0s performance. &o, discrimination in Pa+ &cale should be given a thought b+ concerned personalit+ of the bank.

(B), Bangladesh needs a separate (. department. &peciali-ed (. &pecialist should be hired at top level. #here are Bhief of 5inance, "ccounts, $arketing, and .isk $anagement officer and so on but no (. head in the organi-ation. /ow a da+ (. department is a must for all the organi-ation because if human is managed perfectl+ Aright person is in the right place in the right timeA then it provides positive reflection to the organi-ation0s performance.

#here should be a less span of control, emplo+ee participation should be encouraged. If emplo+ee does not feel importance and work like a machine, heEshe lose his abilit+ to offer hundred percent of hisEher competenc+.

9(B) has 1ust begun campus recruiting in Bangladesh which provides +oungsters to come ahead but their campus recruiting process is so slow and #he+ should increase their pace of hiring +oungsters as other banks are doing successfull+. #he+ should provide more and more opportunities to fresh graduates and masters

RE4ERENCE
%&irim, :!! ' %)eeds' %.utgers.edu.com' %blackwellpublishing' %ibam' %ferr+koster' %(>B $3/#.>")' %B3&#3/ B3))>C>'

A**ENDIX
P7>&#I3//"I.> Please tick the appropriate answer or fill in the blanks< Se$tion8 . 1. 8hat is +our ;esignationI TTTTTTTTTTTTTTTTTTTTTTTTT :. (ow long +ou have been emplo+ed in to this Bank %+ears'TT ...TTTTTTTTT.. ?. 8hat is +our highest 2ualificationITTTTTTTTTTTTTTTTTTTTT... 4. 8hat is +our native languageI TTTTTTTTTTTTTTTTTT...TTTT... . 8hat is +our $artial &tatusI TTT...TTTTTTTTTTTTTTTTTTTT.. *. 8hat is +our CenderI TTTT...TTTTTTTTTTTTTTTTTTTTTT 7. 8hat is +our ageI TTTTTTTTTTTTTTTTTTTTTTTTTTT...... Se$tion80 Em"&o'ee "er orman$e+ 7. I am satisfied with m+ e,isting Rob &trongl+ ;isagree ;isagree /eutral "gree &trongl+ agree

F. #he working environment is comfortable &trongl+ ;isagree ;isagree /eutral "gree &trongl+ agree

Se$tion8; Com"en+ation "ra$ti$e+ 9. Bompensation s+stem communicate +our output ?

&trongl+ ;isagree

;isagree

/eutral

"gree

&trongl+ agree

1!. Bompensation s+stem is enough to meet basic needs &trongl+ ;isagree ;isagree /eutral "gree &trongl+ agree

Se$tion8 9 *er orman$e E%a&(ation *ra$ti$e+ 11. I am satisfied with P>P &trongl+ ;isagree ;isagree /eutral "gree &trongl+ agree

1:. Performance evaluation has a lot to do with m+ salar+ &trongl+ ;isagree Se$tion8 > *romotion "ra$ti$e+ 1?. Promotion polic+ is satisfactor+ &trongl+ ;isagree ;isagree /eutral + "gree &trongl+ agree ;isagree /eutral "gree &trongl+ agree

14. Provision of Priorit+ to merit in Promotion &trongl+ ;isagree ;isagree /eutral "gree &trongl+ agree

Se$tion8 ?

Bomment<