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Stamford University Bangladesh

Thesis Paper
On
“An Analysis of HR Policy & Practices in RMG
Sector in Bangladesh”

Prepared To:
Mohammad Jaynal Abedin
Associate Professor
Department of Business Administration
Stamford University Bangladesh

Prepared By:
Nahar Akthar Lubna
ID: MBA 07618553
Department of Business Administration
Stamford University Bangladesh

A Thesis Paper submitted in fulfillment of the requirements for the degree


of Master of Business Administration

Date of Submission: 04 January 2023


LETTER OF TRANSMITTAL

Date: 04 January 2023

Mohammad Jaynal Abedin


Associate Professor
Department of Business Administration
Stamford University Bangladesh

Subject: Submission of Thesis Paper.

Dear Sir,
I am pleased to submit you this report on your direction given during the thesis
program. The thesis shows detail aspects of “An Analysis of HR Policy &
Practices in RMG Sector in Bangladesh”.
I think that this report has helped me a lot in enhancing the knowledge about the
respective subject matter, as well as empowering my skills related to the working
with the organization. I have really enjoyed working on this report and hope that
this effort will meet the level of institutional expectation.
While preparing this report, we found the task interesting and faced many kinds
of problem. But we have devoted our best effort within our limitation to make the
report worth-while and dynamic one.
I am very glad that you have given us this opportunity to prepare this report and I
hope you will accept our report for evaluation and thus oblige.

Sincerely yours,

………………………..
Nahar Akthar Lubna
ID: MBA 07618553
Department of Business Administration
Stamford University Bangladesh

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DECLARATION

I hereby declare that the report of thesis namely “An Analysis of HR Policy &
Practices in RMG Sector in Bangladesh” has been prepared by me with HR
practices & policy in Readymade Garments Industry in Bangladesh and a
comprehensive study of the existing activities of Readymade Garments industry and
its implementation.
I also declare that this paper is my original work and prepare for academic purpose
which is a part of MBA and the paper may not be used in actual market scenario.

------------------------
Nahar Akthar Lubna
ID: MBA 07618553
Department of Business Administration
Stamford University Bangladesh

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CERTIFICATE
This is to certify that Nahar Akthar Lubna, student of Master of Business
Administration (MBA), Major in Human Resource Management, ID: MBA 07618553
from Stamford University Bangladesh has completed her Thesis under my supervision
as a partial requirement for the degree of Masters of Business Administration, Major
in Human Resource Management. This thesis entitled on “An Analysis of HR Policy
& Practices in RMG Sector in Bangladesh”.

I wish every success in her life.

……………………………
Mohammad Jaynal Abedin
Associate Professor
Department of Business Administration
Stamford University Bangladesh

iii
ACKNOWLEDGEMENT

Success is only possible where there is an engaged heart. In preparing this Thesis
Paper, it was evident that the engaged heart of mine alone was not enough. I needed
the support of significant others. It is therefore, difficult not to devote a page of this
text acknowledging the assistance I received from number of people.

Firstly, I would like to thank my deepest sense of gratitude to Mohammad Jaynal


Abedin, Associate Professor & Coordinator, Department of Business Studies,
Stamford University Bangladesh for his guidance, constant supervision, constructive
suggestions and moral support. Without her painstaking care, this Thesis Paper could
not have seen the light.

Secondly, during this period I have gone through all the teachers of Human Resource
Management (HRM) of our University.

I am grateful to my ALLAH and my Parents, who supported me a lot in every aspect


of preparing the Thesis Paper. This Thesis Paper suffers from many shortcomings
although I have exerted my best effort while preparing this Thesis Paper. I seek
excuse for the errors that might have occurred in spite of the best of my effort.

iv
Table of Contents

Particulars Page No.


Letter of Transmittal i
Declaration ii
Certificate iii
Acknowledgement iv
Executive Summary 1-2
Chapter- One:
1.0 Introduction
1.1 Background of the study 4
1.2 Statement of the Problem and Rationale of the Study 4
1.3 Objective of the study 4
1.4 Methodology of the study 5
1.5 Scope of the study 5
1.6 Limitation of the study

Chapter- Two:
2.0 Garments Industry in Bangladesh
2.1 Introduction of garments 7
2.2 History of the garments industry 10
2.3 Bangladesh garments industry 16

Chapter- Three:
3.0 Major Types of Garments Exported to other Countries 19-23

Chapter- Four:
4.0 Some Selected Garments Manufactures Company
4.1 Square Textiles Ltd 25-27
4.2 Trendz Group 28-34
4.3 Bextex Ltd. 35-43

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Chapter- Five:
5.0 HR Practices and Policy in garments industry
5.1 HR Practices of Garments Industry 45
5.1.1 Recruitment and Selection process in 46
garments industry
5.1.2 Training and Development program of 49
garments industry
5.1.3 Performance Management 51
5.1.4 Employee relation 52
5.1.5 Job analysis 53
5.1.6 Job Design 55
5.1.7 Incentives 57
5.1.8 Benefits of garments industry 60

Chapter- Six:
6.0 Findings , Recommendations and Conclusion
6.1 Findings 65
6.2 Recommendations 67
6.3 Conclusion 69
Reference 70

vi
EXECUTIVE SUMMARY

Executive Summary

The report covers the three months thesis program as the MBA requirements. I have
worked with the “An Analysis of HR Policy & Practices in RMG Sector in
Bangladesh”. The objective of the thesis report is to analyze the Overall HR Practices
of the employee Garments industry.

Garments industry in Bangladesh has been enriched significantly in the recent past
years. In the field of Industrialization, garment industry has been proved a promising
step. It has also provided opportunities of employment to millions of unemployed,
especially innumerable uneducated women nationwide. As a result it is providing
significant contribution in the field of our export income.

The prime reason behind rapid growth of garments industry is the cheap labor. Labor
is not as cheap anywhere in the world as it is in Bangladesh. Women contribute to the
working force in these garment factories are comparatively paid lower than men. A
worker works here long hour’s free or cheap meals. But this has not prevented
thousands of women from work. It has given them a steady income, economic
independence, self-reliance and dignity, because they are earning their own livelihood
and supporting their families.

Over the last decades, garments industries have emerged as the largest source of
earning foreign currency. Almost half of the total foreign currency is coming from
exporting ready-made garments to European Union and the U.S.A. Besides, Canada,
Japan, Australia, New Zealand; Russia etc. At present about 20 countries of the world
are importers of our garments. Its market is being expanded in the Middle East,
Russia, Japan, Australia and many other countries.

During this thesis presentation it is also observed that the promising industry has
some problems impeding its development. Bangladesh imports raw materials for
garments like cotton, thread color etc. This production of raw materials hampers the

1
development of garments industry. Moreover, foreign manufacturers often supply low
quality materials, which results in low quality and quantity of production. On the
other hand, most of the illiterate women workers employed in garments are unskilled
and so their products often become lower in quality. Some other problems includes
insufficiency at loan provision, uncertainly of electricity, delay in getting materials,
lack of communication, problem in paying taxes etc. In the world market 115 to 120
items of dress are in demand where as Bangladesh supplies only ten to twelve items
of garments. India, south Korea, Hong Kong, Singapore, Thailand, Taiwan etc, have
made remarkable progress in garments industries. Bangladesh is going to challenge
the garments of those countries in the world market.

The strategic Goals and Objectives of the Company are to strive hard to optimize
profit though conduction and transparent business operations and to create more
competitive in the internal and external market.

I have prepared this report with five Chapters. All chapters include about Human
Resources practices.

Firstly, have Introduction of the report.


Secondly, I have tried to highlight the Introduction of garments, History of the
garments industry, Bangladesh garments industry,
Third chapter is Major types of garments exported to other countries
Fourthly, I have introduced the some selected garments Manufactures Company:
Square Textiles Ltd, Trendz Group, Bextex Ltd.
Fifthly, I have tried to represent HR Practices in garments industry.
Sixthly and seventhly i also descried finding, recommendation and conclusion.
Finally I have Mentioned Abut the References and Appendix.

2
CHAPTER ONE

INTRODUCTION

3
4
CHAPTER 1
INTRODUCTION

1.1 BACKGROUND OF THE REPORT

This report is being prepared as a requirement of thesis work and also for fulfillment
of MBA program at Stamford University Bangladesh. I have examined the An
Analysis of HR Policy & Practices in RMG Sector in Bangladesh.

This report was prepared under direct supervision of my Research supervisor


Mohammad Jaynal Abedin, Associate Professor & Coordinator, Department of
Business Studies, Stamford University Bangladesh. My topic was duly approved by
the department as it was directly related to understand Human Resources practices
need assessment of all RMG Sector in Bangladesh.

1.2 STATEMENT OF THE PROBLEM AND RATIONALE OF THE STUDY

Although HRM practices are requisite in enhancing organizational performance and


competitive advantage, surprisingly very insufficient number of studies have been
conducted on HRM practices in Bangladesh and other developing countries.

In Bangladesh, due to nonexistence of any central database or any electronic


warehouse, a researcher has to collect all the research works physically from sources
scattered throughout the country. That is why, it is very much thorny for a researcher
to collect research works to conduct literature survey for further research in
Bangladesh context. Though researchers and practitioners are quite curious about the
field of HRM in Bangladesh, they don't know about the current status of HRM
research and practice. This study strived to fill the gap by presenting a substantial
number of research studies conducted so far in different aspects of HRM in context of
Bangladesh. This study would benefit the researchers, practitioners, policy makers,
students, and various stakeholders by offering the status of research on HRM
practices in Bangladesh. This study would definitely augment the current research and
practice of HRM in developing countries by showing the contemporary scenario of
HRM in Bangladesh.

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1.3 OBJECTIVES OF THE REPORT

Broad objectives:

Broad objective of this report is to meet the partial requirements for the fulfillment of
MBA program.

Specific objectives:

In specific objective I have to prepare a sound report that must be reliable and
dependable for the Garment’s officials.

The specific objectives to help in explaining the broad objectives are as follows:

 To find out how Employment of personnel practices system works.

 To suggest remedial measure how they can increase deposit for the development
Garments.

 Discuss all HRM practice

1.4 METHODOLOGY

The nature of this report is descriptive, so instead of doing any survey or using
sampling method, observation method is used to complete this qualitative research.
Most of the necessary information has been collected by face-to-face interview with
the people, personal investigation with garments employees.

Primary Source:

Major source of information were collected from HR divisions of all garments as well
as from other Employees. In addition, in some cases information also collected from
face to face question answer from the garments HR division.

Secondary Source:

The organization part of the report is mainly based on secondary data. These data
were gathered from different published materials, report, service rules, annual reports,
prospectus, and other garment’s and from their websites and other publications.

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1.5 SCOPE OF STUDY

The report is concerned with the HR Divisions of selected garments and concerned
with the comparison of HR Divisions and their Employment of Personnel practices in
garments industry with selected garments. Different garments are considered for the
comparison of HR Divisions.

1.6 LIMITATIONS

o Major part of the report is based on the face-to-face interviews, which


consists of view and opinions of those people. In some cases some of them
were not able to provide concrete facts or figures. In this case as well some
assumptions had to be made.

o In some garments they do not have as much employees as they needed to


serve their needs for HR Divisions.

o Some important duties are done by the entry level employees that are not
be considered their job because it can occur a lot of error.

o The officers were very busy with their daily work, they could hardly
provide little time to discuss with them.

o Finally, the nature of information of the project part is somewhat


confidential and critical to analyze. It was quite difficult to have the
sufficient knowledge and understanding in that particular field, in a short
period of Internship program.

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CHAPTER TWO

GARMENTS INDUSTRY IN BANGLADESH

8
CHAPTER 2
GARMENTS INDUSTRY IN BANGLADESH

2.1 Introduction of Garments:


A feature of most human’s societies is the wearing of clothing, a category
encompassing a wide variety of materials that cover the body. The primary purpose of
clothing is functional, as a protection from the elements. Clothes also enhance safety
during hazardous activities such as hiking and cooking, by providing a barrier
between the skin and the environment. Further, clothes provide a hygienic barrier,
keeping toxins away from the body and limiting the transmission of germs.
Clothing performs a range of social and cultural functions, such as individual,
occupational and sexual differentiation, and social status. A uniform, for example,
may identify civil authority figures, such as police and military personnel, or it may
identify team, group or political affiliations. In many societies, norms about clothing
reflect standards of modesty, religion, gender, and social status. Clothing may also
function as a form of adornment and an expression of personal taste or style.
Throughout history, many materials have been used for clothes. Materials have
ranged from leather and furs, to woven materials, to elaborate and exotic natural and
synthetic fabrics. Recent scientific research estimates that humans have been wearing
clothing for as long as 650,000 years. Others claim that clothing probably did not
originate until the Neolithic Age (the "New Stone Age").
Articles carried rather than worn (such as purses), worn on a single part of the body
and easily removed (scarves), worn purely for adornment (jewelry), or those that
serve a function other than protection (eyeglasses), are normally considered
accessories rather than clothing.

Humans often wear articles of clothing (also known as dress, garments or attire) on
the body (for the alternative, see nudity). In its broadest sense, clothing includes
coverings for the trunk and limbs as well as coverings for hands (gloves), feet (shoes,
sandals, boots), and head (hats, caps).
Articles carried rather than worn (like purses and umbrellas) normally count as
accessories rather than as clothing.

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Humans also decorate their bodies with makeup or cosmetics, perfume, jewelry and
other ornament; cut, dye, and arrange their head, face and body hair (hairstyle), and
sometimes their skin (tattoo, scarifications, piercing). All these decorations contribute
to the overall effect and message of clothing, but do not constitute clothing per se.
People wear clothing for functional and/or social reasons. Clothing protects the body;
it also delivers social messages to other humans.
Function includes protection of the body against strong sunlight, extreme heat or cold,
and precipitation; protection against insects, noxious chemicals, weapons, contact
with abrasive substances -- in sum, against anything that might injure an unprotected
human body. Humans have shown extreme inventiveness in devising clothing
solutions to practical problems.
See: armor, diving suit, bee-keeper's costume, motorcycle leathers, high-visibility
clothing.
Social messages sent by clothing, accessories, and decorations can involve social
status, occupation, ethnic and religious affiliation, marital status and sexual
availability, etc. Humans must know the code in order to recognise the message
transmitted. If different groups read the same item of clothing or decoration with
different meanings, the wearer may provoke unanticipated responses.
 Social status: in many societies, people of high rank reserve special items of
clothing or decoration for themselves. Only Roman senators could wear
garments dyed with Tyrian purple; only high-ranking Hawaiian chiefs could
wear feather cloaks and palaoa or carved whale teeth. In many cases, there
were elaborate systems of sumptuary laws regulating who could wear what. In
other societies, no laws prohibit lower-status people wearing high status
garments, but the high cost of status garments effectively limits purchase and
display. In current Western society, only the rich can afford haute couture. The
threat of social ostracism may also limit garment choice.
 Occupation: military, police, firefighters usually wear uniforms, as do workers
in many industries. School-children often wear school uniforms, college and
university students wear academic dress. Members of religious orders may
wear uniforms known as "habits". Sometimes a single item of clothing or a
single accessory can declare one's occupation and/or status -- for example, the
high toque or chef's hat worn by a chief cook.

10
 Ethnic, political, and religious affiliation: In many regions of the world,
national costumes and styles in clothing and ornament declare membership in
a certain village, caste, religion, etc. A Scotsman declares his clan with his
tartan; an Orthodox Jew his religion with his (non-clothing) sidelocks; a
French peasant woman her village with her cap or coif.
 Clothes can also proclaim dissent from cultural norms and mainstream beliefs,
as well as personal independence. In 19th century Europe, artists and writers
lived la vie de Bohème and dressed to shock: George Sand in men's clothing,
female emancipationists in bloomers, male artists in velvet waistcoats and
gaudy neckcloths. Bohemians, beatniks, hippies, Goths, punks and Skinheads
continued the ( counter-cultural) tradition in the 20th century West. Now that
haute couture plagiarises street fashion within a year or so, street fashion may
have lost some of its power to shock, but it still motivates millions trying to
look hip and cool.
 Marital status: Hindu women, once married, "wear" sindoor, a red powder, in
the parting of their hair; if widowed, they abandon sindoor and jewelry and
wear simple white clothing. Men and women of the Western world may wear
wedding rings to indicate their marital status. See also Visual markers of
marital status.
 Sexual availability: Some clothing indicates the modesty of the wearer. For
example, many Muslim women wear a head or body covering ( hijab, bourqa or
burka, chador, abaya) that proclaims their status as respectable women. Other
clothing may indicate flirtatious intent. For example, a Western woman might
wear extreme stiletto heels, close-fitting and body-revealing black or red
clothing, exaggerated make-up, flashy jewelry and perfume to show sexual
availability. What constitutes modesty and allurement varies radically from
culture to culture, within different contexts in the same culture, and over time
as different fashions rise and fall. Moreover, a person may choose to display a
mixed message. For example, a Saudi Arabian woman may wear an abaya to
proclaim her respectability, but choose an abaya of luxurious material cut
close to the body and then accessorize with high heels and a fashionable purse.
All the details proclaim sexual desirability, despite the ostensible message of
respectability.

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Because clothing and adornment have such frequent links with sexual display,
humans may develop clothing fetishes. They may strongly prefer to have sexual
relations with other humans wearing clothing and accessories they consider arousing
or sexy. In Western culture, such fetishes may include extremely high heels, lace,
leather, or military clothing. Other cultures have different fetishes. For many
centuries, Chinese men desired women with bound feet. The men of Heian Japan
lusted after women with floor-sweeping hair and layers of silk robes. Fetishes vary as
much as fashion.

2.2 History of the “GARMENT INDUSTRY”:


GARMENT INDUSTRY. As early as 1860 the manufacture of ready-to-wear
clothing became one of Cleveland's leading industries. The garment industry probably
reached its peak during the 1920s, when Cleveland ranked close to New York as one
of the country's leading centers for garment production. During the Depression and
continuing after World War II, the garment industry in Cleveland declined. Scores of
plants moved out of the area, were sold, or closed their doors. Local factors certainly
played their part, but the rise of the ready-to-wear industry in Cleveland, as well as its
decline, paralleled the growth and decline of the industry nationwide. Thus the story
of the garment industry in Cleveland is a local or regional variant of a much broader
phenomenon.
In the early 19th century clothing was still handmade, produced for the family by
women in the household or custom-made for the
more well-to-do by tailors and seamstresses. The
first production of ready-to-wear garments was
stimulated by the needs of sailors, slaves, and
miners. Although still hand-produced, this early
ready-to-wear industry laid the foundations for
the vast expansion and mechanization of the
industry. The ready-to-wear industry grew
enormously from the 1860s to the 1880s for a The Ironing Department of L.N.
variety of reasons. Increasing mechanization was Gross Co., ca. 1930. WRHS.
one factor. In addition, systems for sizing men's
and boys' clothing were highly developed, based on millions of measurements

12
obtained by the U.S. Army during the Civil War. Eventually, accurate sizing for
women's clothing was also developed. The Depression of 1873 contributed to the
growth and growing acceptance of men's ready-to-wear, because men found in off-
the-rack garments a satisfactory and less costly alternative to custom-made clothing.
The production of ready-made men's trousers or "pants," separate from suits,
stimulated during the depression of the 1870s, allowed men to supplement their outfit
without having to purchase a complete suit. In general, however, the great expansion
of the ready-to-wear industry coincided with and was partly the result of the
tremendous urbanization and the great wave of immigrants that came to the U.S. in
the last decades of the 19th century and early decades of the 20th. Industrial cities
such as Cleveland also experienced rapid growth, and it was during this period that
Cleveland's ready-to-wear clothing industry blossomed.
The early entrepreneurs of the clothing industry in Cleveland were often JEWS &
JUDAISM of German or Austro-Hungarian extraction. Their previous experience in
retailing prepared them for the transition to manufacturing and wholesaling ready-to-
wear clothing. One example was Kaufman Koch, a clothing retailer whose firm
eventually evolved into the JOSEPH & FEISS CO., a leading manufacturer of men's
clothing. The company still exists in the early 1990s, although it is no longer locally
owned. The entry-level manufacturer needed relatively little capital to launch a
garment factory. H. Black & Co., which would become a major Cleveland
manufacturer of women's suits and cloaks, started out as a notions house. The Black
family, Jews of Hungarian origin, decided to produce ready-to-wear clothing based on
European patterns in their own home. Later, fabric was contracted out to home sewers
and then returned to the factory for final assembly. This system of contracting was
widely practiced at this stage of the garment industry's development, but by the close
of the 19th century home work had been generally superseded by factory production.
Garment manufacturing started in the FLATS, but in the early 20th century, it was
concentrated in what is now called the WAREHOUSE DISTRICT, an area bounded by W.
6th and W. 9th streets and Lakeside and Superior avenues. L. N. Gross Co., founded
in 1900, was one such firm in the growing garment district, specializing in the
production of women's shirtwaists. Many women wore suits, and the separate
shirtwaist provided a relatively inexpensive way to modify and vary their wardrobe.
L. N. Gross also pioneered in the specialization and division of labor in the

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manufacturing process. Instead of having one person produce an entire garment, each
garment worker specialized in one procedure, and then the entire garment was
assembled.
As the garment industry spread to other areas of the city, the CLEVELAND WORSTED
MILL CO. dominated the skyline on Broadway near E. 55th St. First organized in the
1870s and controlled after 1893 by KAUFMAN HAYS†, the Worsted Mills produced
fabric for Cleveland manufacturers, as well as for garment manufacturers in other
parts of the country. The company owned and operated a total of 11 mills in Ohio and
on the East Coast. During the first 3 decades of the 20th century, the garment industry
spread from downtown to the east side along Superior Ave. between E. 22nd and E.
26th streets. The RICHMAN BROTHERS CO. built a large plant on E. 55th. near St.
Clair. Founded in Portsmouth, OH, the company moved to Cleveland in the late
1890s, specializing in the production of men's suits and coats--an activity in which
Cleveland was a close runner-up to New York. In order to reduce the risk of large
cancellations by wholesalers, Richman distributed its product directly to the customer
in its own retail outlets. The plants of other garment manufacturers dotted the east
side well into the 1960s, including BOBBIE BROOKS, INC. on Perkins Ave. and the
Dalton Co. at E 66th and Euclid. The PRINTZ-BIEDERMAN CO. was founded in 1893
by Moritz Printz, for many years the chief designer for H. Black & Co. Printz-
Biederman specialized in the production of women's suits and coats, a branch of the
garment industry in which Cleveland ranked second to New York. In 1934 the
company left the St. Clair area to build a modern factory on E. 61st between Euclid
and Chester avenues. The large knitwear firm of Bamberger-Reinthal built a plant on
Kinsman at E. 61st St.; Joseph & Feiss was located on the west side on W. 53rd St.;
Federal Knitting had a plant on W. 28th and Detroit,; and the Phoenix Dye Works was
still located on W. 150th St. in 1993.
For approximately 50 years after the 1890s, about 7% of Cleveland's workforce toiled
in the garment factories. The ethnic origins of those who worked in the industry were
as varied as the immigrants who flowed to the U.S. in the early decades of the 20th
century. Although Jewish workers played a prominent role, other immigrant groups
such as CZECHS, POLES, GERMANS, and ITALIANS were also employed in large
numbers, and many of the garment factories were located in the ethnic neighborhoods
from which they drew their workforce. Small workshops also proliferated in the

14
ethnic neighborhoods, and many garment workers labored in sweatshop conditions.
Unlike in New York, however, where the majority of shops employed 5 or fewer
workers, 80% of Cleveland's approximately 10,000 apparel workers were employed
in large and well-equipped factories by 1910. Although working conditions were
somewhat better in Cleveland than in New York, Cleveland garment workers
generally received low wages and worked long hours with few, if any, benefits. Like
garment workers elsewhere, they sought to improve their wages and working
conditions by organizing. In 1900 a number of small craft and trade unions joined
together in New York City to form the INTERNATIONAL LADIES GARMENT WORKERS
UNION, and in 1911 Cleveland garment workers staged a massive strike. On 6 June
the employees of H. Black & Co. walked out, and up to 6,000 of Cleveland's garment
workers followed them. The ILGWU sent officials from New York to encourage the
strikers, but in spite of considerable support for the workers in the community at
large, the owners resisted. Attempts to negotiate a settlement failed, and by October
those who could returned to work. The strike had been lost
During World War I, the garment industry produced a variety of apparel for the armed
forces, and in 1918 wartime inflation and prosperity prompted the ILGWU to
organize another strike in Cleveland, involving approximately 5,000 workers. To
avoid the disruption of local production of military uniforms, secretary of war and
former Cleveland mayor NEWTON D. BAKER† intervened, prevailing on both sides to
accept a board of referees, which gave the workers a substantial increase in wages.
This event marked a watershed in relations between management and labor in
Cleveland's garment industry. The threat of unionization and the influence of
"Taylorism" or "Scientific Management" persuaded the large Cleveland garment
factories to provide increased amenities for their workers, which reached a peak in the
1920s. PAUL FEISS†, of Joseph & Feiss, was a convinced exponent of scientific
management, and time and motion studies were implemented in order to make
production more efficient and cost-effective. Working conditions also were improved
in order to reduce employee turnover and to provide the best possible environment for
maximum productivity. The local garment factories began to provide clean and well-
run cafeterias, clinics, libraries, and nurseries for children. Employees of both sexes
were urged to participate in sports, theatricals, and other activities, and the factory

15
was also a place where immigrants learned English and a variety of homemaking
skills. One consequence of paternalism was a brake on the growth of unionism.
The Depression and the New Deal had a major impact on the garment industry. Those
manufacturers who survived the Depression were faced with a powerful new labor
movement bent on organizing the unorganized garment industry. Bolstered by the
provisions of the NRA and the National Labor Relations Act, both the ILGWU and
the Amalgamated Clothing Workers, which represented workers in the men's garment
factories, successfully waged organizing campaigns. Some owners acquiesced; others
resisted or simply closed their doors. The process of decline in Cleveland's garment
industry began during the 1930s. During World War II, the industry was once again
geared for war production. Factories produced uniforms, knit scarves, and parachutes.
LION KNITTING MILLS was famous for its production of the knitted Navy watch cap.
Following the war, a number of garment manufacturers were unable to adjust to new
market conditions and to new price levels. But while some companies fell by the way,
new and vigorous garment factories grew, especially in the 1950s. Among them was
Bobbie Brooks, founded by MAURICE SALTZMAN†, and the Dalton Co., organized by
Arthur Dery. In fact, the Cleveland garment industry was still so large and influential
in the 1950s that Cleveland manufacturers were able to convince the Phoenix Dye
Works of Chicago to relocate in Cleveland, where many of its customers were
located. Throughout the years other businesses ancillary to garment manufacturing
also flourished in Cleveland.
Since World War II, the once-vigorous Cleveland garment industry has dwindled
considerably, especially since the 1960s and 1970s when the decline accelerated. In
some instances, management has transferred manufacturing operations elsewhere
while retaining offices in Cleveland. In some cases an entire operation moved from
the Cleveland area, usually to the South. Many companies sold off all or part of their
businesses or simply closed. The reasons for this shift are complex and varied, some
deriving from local conditions and some from conditions that are national or even
global in nature, affecting the industry as a whole throughout the U.S.
The garment industry is traditionally a low-paying industry, and rising labor costs
aggravated the industry's problems. Although most of the large Cleveland
manufacturers were unionized, unionization itself did not necessarily mean that one
company had an unfair advantage over another. The city's garment unions, however,

16
generally sought and received wage settlements above the national minimum. Labor
costs were considerably less in the South, and Cleveland manufacturers as well as
garment and textile workers throughout the U.S. faced growing competition from
lower-paid workers in other parts of the world. For example, knitwear and other
textile products produced in South Korea, Taiwan, Hong Kong, or Singapore could be
sold in the U.S. at substantially less than the same products manufactured in this
country. Another factor that may have discouraged some Cleveland manufacturers
was the changing workforce. Until the 1950s and 1960s, many women workers had a
limited number of employment opportunities, particularly the European immigrant
women who dominated the workforce of the garment industry. During the postwar
period, there was a new generation of women working who had many more
employment opportunities at wages much higher than could be earned in the garment
industry. However, while labor costs in Cleveland were relatively high in comparison
with some regions, there were some industry authorities who contended that
additional factors contributed to the industry's decline. For example, some family-
owned concerns were sold or simply dissolved when family shareholders could no
longer agree on management decisions. In other cases, the heirs preferred some
profession or occupation outside the garment industry.
The apparel industry was also subject to changes in technology and to the rapidly
changing conditions of the marketplace. Cleveland firms often did not or could not
respond with sufficient alacrity or astuteness to such changing conditions. Cleveland
was perhaps too divorced from the center of the market in New York. It lacked a
regional market of importance, and thus many manufacturers lost touch with what
consumers wanted, and when the competitive price structure changed after World
War II, some companies could not adapt to a shifting and rapidly changing
marketplace. In the 1980s New York came to dominate the industry as both a
marketplace and a manufacturing center, and substantial Cleveland manufacturers
must constantly study and test the marketplace trends in New York City. In addition,
there are other important regional markets, such as Dallas and Los Angeles, which
served to move the focus of the industry away from Cleveland. Perhaps that is part of
a larger underlying transformation of the American economy resulting in the loss of
preeminence of the older industrial centers of the Great Lakes region and Middle
West. On the other hand, Cleveland garment manufacturers who take advantage of

17
new technologies, who learn to cut costs, and who learn to respond effectively to the
marketplace may still survive and even flourish.

2.3 Bangladesh Garments Industry


The history of the Readymade Garments Sector in Bangladesh is a fairly recent one.
Nonetheless it is a rich and varied tale. The recent struggle to realize Workers' Rights
adds an important episode to the story. Below, we present a detailed narration of the
evaluation of the RMG sector from its humble origins to the present day.
The shift from a rural, agrarian economy to an urban, industrial economy is integral to
the process of economic development (Kaldor, 1966, 1967). Although policymakers
in the least developed countries (LDCs) have, at various times, attempted to make
agriculture the primary engine of economic growth and employment generation, this
approach has not worked, not least because of the contributions of the Green
Revolution, which has had the dual effect of increasing agricultural productivity in the
LDCs and displacing the rural labour force at the same time. Led by the example of
the East Asian economies, most LDCs now accept the need for greater
industrialization as the fastest path to economic growth. In particular, countries such
as Japan, Taiwan and South Korea have demonstrated that an export-oriented
industrial strategy can not only raise per capita income and living standards in a
relatively short time; it can also play a vital role in modernizing the economy and
integrating it with the global economic system. Bangladesh, one of the archetypal
LDCs, has also been following the same route for the last 25 years. Once derided as a
“basket-case” by Henry Kissinger (The Economist, 1996), the country stumbled
across an economic opportunity in the late 1970s. New rules had come to govern the
international trade in textiles and apparel, allowing low-cost suppliers to gain a
foothold in American and European markets. Assisted by foreign partners, and largely
unaided by the government, entrepreneurs seized the opportunity and exploited it to
the fullest. Over a period of 25 years, the garments export sector has grown into a $6
billion industry that employs over a million people. In the process, it has boosted the
overall economic growth of the country and raised the viability of other export-
oriented sectors.
This essay analyzes the processes by which global trading rules came to help out a
poor country like Bangladesh. It demonstrates the impact of the rule changes on the
garments sector, and the response of the sector to multiple challenges and obstacles. It

18
also discusses what steps Bangladesh should take in order to deal with the full
liberalization of the international garments trade, which occurred in January 2005 and
which could potentially threaten the country’s growth prospects. Finally, it details
some of the recent developments that have occurred since liberalization took effect.
Although Bangladesh is not developed in industry, it has been enriched in Garment
industries in the recent past years. In the field of Industrialization garment industry is
a promising step. It has given the opportunity of employment to millions of
unemployed, specially innumerable uneducated women of the country. It is making
significant contribution in the field of our export income.
History of our cloth Industry: Once the cloth of Bangladesh achieved worldwide
fame. Muslim and Jamdani cloth or our country were used as the luxurious garments
of the royal figures in Europe and other countries. The British rulers in India didn’t
develop our cloth industries at all. Rather they destroyed them and imported cloths
from England.
Garment industries at present Bangladesh: After the emergence of Bangladesh
radical change has come to our garment sector. Garment industries started working
from the 10's of the late century. At present there are about 3000 garment industries in
the country and 75 percent of them are in Dhaka. The rest are in Chittagong and
Khulna. These Industries have employed fifty lacks of people and 85 percent of them
are illiterate rural women. About 76 percent of our export earning comes from this
sector.
Reason of Development: The prime reason why garment industries have come out to
be the champion in the field of export is obviously the cheap labor. Labor is not as
cheap anywhere in the world as it is in Bangladesh. Women contribute to the working
force in these garment factories, as they are relatively cheaper than men. A worker
works here long hour’s free or cheap meals. But this has not prevented thousands of
women from work. It has given them a steady income, economic independence, self-
reliance and dignity, because they are earning their own living and managing their
family expenses.
Garments of Bangladesh in the world-market: Over the last twelve years or so the
garments industries have emerged as the largest source of earning foreign currency.
About half of the foreign currency from the ready-made garments is earned from
European Union and the U.S.A. Besides, Canada, Japan, Australia, New Zealand;

19
Russia etc. also are other garments importing countries. At present about 20 countries
of the world are importers of our garments. Its market is being expanded in the
Middle East, Russia, Japan, Australia and many other countries.
Problem behind garments: This promising industry has some problems impeding its
development. Bangladesh imports raw materials for garments like cotton, thread
colour etc. This dependence on raw materials hampers the development of garments
industry. Moreover, foreign suppliers often supply low quality materials, which result
in low quality products. Most of the illiterate women workers employed in garments
are unskilled and so their products often become lower in quality. Insufficiency of
loan in time, uncertainly of electricity, delay in getting materials, lack of
communication, problem in taxes etc. Often obstruct the industry. In the world market
115 to 120 items of dress are in demand where as Bangladesh supplies only ten to
twelve items of garments. India, south Korea, Hong Kong, Singapore, Thailand,
Taiwan etc, have made remarkable progress in garments industries. Bangladesh is
going to challenge the garments of those countries in the world market.
Garments industries often pay dearly for political unrest, hartal and terrorism etc. The
international market has withdrawn quota advantage over garments export form
Bangladesh since December 2005.
Bangladesh has to advance cautiously for getting better position of her garments in
the world market. Finally destruction of twin tower in 11 September 2001. invasion
on Afghanistan and Iraq and depression in world Economy have seriously affected the
export trade of Bangladesh.

20
CHAPTER THREE

MAJOR TYPES OF GARMENTS EXPORTED TO OTHER


COUNTRIES

CHAPTER 3
MAJOR TYPES OF GARMENTS EXPORTED TO OTHER COUNTRIES

21
Garments are a number one export sector of Bangladesh. Bangladeshi garments
product is export of Europe & American market. All kinds of Knitwear, Woven &
labels product of Bangladeshi garments sector.

Men’s Women’s Boy’s Girl’s


Clothing Clothing Clothing Clothing

 T-shirts  T-shirts  T-shirts  T-shirts


 Pique-Polos  Tank-tops/ Vests Tank-tops  Tank-tops
 Sweaters  Sweaters  Sweaters  Sweaters
 Pants  Jackets  Pants  Sweat shirts
 Shirts  Pants  Shorts  Under-garments
 Shorts  Shirts  Sweat shirts
 Sweat Shirts  Shorts / Skirts  Under-garments
 Jackets  Sweat shirts  Night Wears
 under-garments  Under-garments
 Night Wears

Exports of Bangladesh’s readymade garment (RMG) products are gradually


expanding to China, Japan and Latin American countries in recent days. So far, the
US and the EU were the main buyers of local apparel items. RMG manufacturers tried
hard to explore more export destinations with diversification of their products and
were able to find some prospective markets in Asia and Latin America.

China, the world’s largest apparel supplier, has become a major export destination for
Bangladesh as Chinese manufacturers are now reluctant to produce basic RMG items.
The Chinese manufacturers have recently shifted from basic readymade garment
(RMG) items to high-end apparels. A significant number of garment factories that
made basic RMG products earlier faced closure in China recently. As such,
Bangladesh and other competing countries are now exporting RMG products to
China.

According to Export Promotion Bureau (EPB), Bangladesh exported knitwear


products to China worth $3.071 million in fiscal 2007-08 against $0.76 million in the
previous fiscal year, posting a staggering 400 percent growth. In fiscal 2007-08 the
country exported woven garments to China worth $6.691 million against $6.323
million in fiscal 2006-07. The total export to China from Bangladesh amounted to
$106.946 million against the import of around $3.0 billion in fiscal 2007-08.

22
In 2007, Bangladesh exported cotton T-shirts, singlets and other vests worth $0.79
million against $0.57 million in 2006. China imported such kind of apparel items
worth $976.890 million in 2007 and $926.330 million in 2006 from the rest of the
world. It clearly shows that China itself imports apparel items of a significant amount.
Aggressive marketing drive by Bangladesh can grab a chunk of such import of China,
experts say.

Currently Bangladesh enjoys duty concession on exports of 757 products to Chinese


market under Asia Pacific Trade Agreement. Of the 757 products, 22 knitwear items
and almost the same amount of woven items are included in the concession category.
As a result, the export of knitwear and woven products is getting a steady rise to
China.

Bangladeshi exporters are also looking to the Japanese market as the hottest new
export destination. Apparel exports to Japan started to pick up after the Japanese
government announced the China+1 strategy in 2008. Japan is eager to reduce its
dependence on China, the largest supplier of apparel items globally. The China+1
policy promote shifting production from China to other nations, such as Bangladesh.
Being a member of the least developed countries’ group, Bangladesh has duty-free
access to Japan for woven product (under the generalised system of preferences, or
GSP). Knitwear faces a duty of 17 percent, as Japan clings to its aging knitwear
industry.

The Japanese government has recently invited the Bangladesh Knitwear


Manufacturers and Exporters Association (BKMEA) leaders to discuss about duty-
free access for knitwear. Earlier, the association leaders had asked Japan to relax
rules-of-origin for knitwear items. If Japan allows duty-free knitwear, it will be a
great opportunity for Bangladesh. In fact, Dhaka’s decision last year inspired
exporters with a cash incentive of 5.0 percent of each apparel shipped to Japan.
Manufacturers need separate production lines for the Japanese customers, as they
never compromise on quality. On the other hand, Japanese buyers can afford to pay
for high quality.

Garment exports to Japan maintained roughly a 175 percent growth rate in between
2008-10, according to the EPB. Even with the duty, Bangladesh registered a 231

23
percent rise in knitwear exports to $60 million in the first 10 months of the past fiscal
year; and earned $90 million from woven garment exports — 121 percent growth
over the same period a year earlier.

The Japanese textile and clothing investors are also coming to Bangladesh. Big
entrepreneurs like Maruhisa, Yokohama Tape TM Textiles etc. have decided to invest
a significant amount of money here. Three related companies — NI Teijin, CHORI
and FVG — have opened liaison offices in Dhaka, and two companies opened
quality-control inspection centre (PQC and K2) to meet Japanese national standards.

Meanwhile, a Bangladesh Garment Manufacturers and Exporters Association


(BGMEA) delegation visited some Latin American countries to assess explore and
prepare for current and future potential of Bangladesh’s garment exports. During the
visit, tremendous responses were received from importers and buyers of those
countries. Rough reckoning says Bangladesh can fetch US$400 million from apparel
exports to three Latin American countries in the next three years. These countries are
Brazil, Mexico and Chile.

The main obstacle to raising garment exports to Latin America is the absence of
Bangladesh missions in those countries. If government missions are opened in the
countries, then it would be convenient for Bangladesh exporters to catch market
there,textile experts say.

Brazil’s readymade garment import amounted to $ 767.072 million last year, of which
$303.631 million knitwear and $463.441 million woven, while Bangladesh’s export to
that country was $50.287 million ($ 33.599 million knitwear and $16.688 million
woven).

Mexico’s import totalled to $1,947.85 million last year, ($982.58 million knitwear
and $965.27 million woven), of which Bangladesh shared $114.01 million ($61.76
million knitwear and $52.25 million). Out of Chile’s total RMG import to the tune of
$ 1,074.83 million last year ($517.39 million knitwear and $557.44 million woven)
Bangladesh took a part of $7.47 million ($ 5.26 million knitwear and $2.21 million).
The Mexican government has agreed to allow any Bangladesh businessman holding a

24
US visa to visit that country. Besides these countries, Bangladesh is eyeing opening
new market for RMG export to Russia, Turkey and Colombia.

RMG buying houses, both local and foreign, are now growing rapidly in Bangladesh,
as the country has become a lucrative place for RMG outsourcing on the appreciation
of Chinese currency against the greenback. As part of their business expansion,
foreign buying houses are eying to set up more liaison offices here. The buying
houses including M&S, Adidas and Tesco have already published advertisements in
newspapers to recruit experienced merchandisers for such liaison offices to collect
RMG products at a competitive price from local garment units.

There is no denying that the country’s export witnessed a significant growth during
the last two decades due to growing competitive strength of the local exporters,
mainly the RMG exporters, against their rivals from countries like India, China,
Vietnam and Pakistan. Among other factors, efforts of the private entrepreneurs and
the provision of cash incentive played a significant role in export growth. Cash
incentives offered by the government also helped to build up many backward linkage
industries and generated employment.

The garment industry has now emerged as a prime industrial sector in the country.
More than five million people are directly and indirectly employed in the sector. Also,
the local apparel industry is facing stiff competition in the world market. There is a
need for developing forward linkage industries for sustaining in the competitive
markets. Overall situation in the garment sector is much better now. But still, there
should be more improvements in the social sector where workers’ living conditions
are conspicuously tagged.

25
CHAPTER FOUR

SOME SELECTED GARMENTS MANUFACTURES COMPANY

26
4.1 Square Textiles Ltd

Square Textiles Ltd., a yarn manufacturer, was incorporated on October 15, 1994, as a
public company limited by shares under the veteran leadership of the Founder
Chairman late Samson H Chowdhury with the mission to maximize the production of
quality products and services strictly on ethical and moral standards at minimum costs
to the society ensuring optimum benefits to the consumers, the shareholders and other
stakeholders. The commercial operations commenced in 1997 with an installed
capacity of 30,000 spindles and extended to 60,000 spindles in the following year
1998 to cater to the need of the knit yarn market of the export-oriented RMG industry.
The project has been installed with world-reputed state-of-the-art technology from
Europe at the back process and ring unit of Chinese origin with SKF Germany
drafting zone which is capable to produce excellent quality yarns. In 2000, the
turnover stood at BDT 210 crore with a net profit of BDT 40 crore. Square Tex was
listed with the Dhaka and Chittagong Stock Exchange of Bangladesh in 2002 under
the Direct Listing Regulation 2001 and has never missed a dividend payment to its
shareholders. At present, the total installed production capacity is 1,29,262 spindles,
5,192 rotor heads, and 3,168 vortex heads. The Export Sales and Net Profit during the
year 2021-2022 stood at BDT 15,624 million and 1,806 million respectively and has
around 4,551 employees across the country and abroad

Mission Statement:
The mission statement of Square Textiles Limited is “Our mission is realization of
vision through maximum production of goods and services strictly on ethical and
moral standards at minimum costs to the society ensuring optimum benefits to the
shareholders and other stakeholders.” This mission is envisioned by the concept of
business which ensures wellbeing of the investors, stakeholders, employees and
members of the society which will create new wealth in the form of goods and
services
STRATEGIC GOALS & OBJECTIVES:
Square textile Ltd. sets the following objectives for it to achieve:
 To strive hard to optimize profit through conduction of transparent business
operations within the legal & Social framework with malice to none and

27
justice for all in respective of gender disparity, caste, creed or religion or
region.
 To increase productivity.
 To create more jobs with minimum investments.
 To be competitive in the internal as well as external markets.
 To maximize export earning with minimum imported in-puts.
 To reduce the income gap between top & bottom categories of employees.
 To promote corporate social responsibilities (CSR) amongst all

POTENTIAL CUSTOMER:
The target market for products produced in Square Textiles Ltd. and Square Spinning
Ltd. is Export Oriented Readymade Garments Industry. Readymade Garments
exporter that is Knit Fabrics, Sweater and Denim manufacturer. In Bangladesh
Beximco Kitting, Grameen Knitwear, Shasha Denim, Knit Concern etc are the
customers. Target market for products produced in Square Fashion Ltd. is Europe and
U.S.A. Square Textiles does not direct sales in overseas market but sometimes India,
Pakistan & other countries take their yarn.
Management:
The entire management process comprises the following units:

The Managing Director, the CEO is the head of the Executive Management Team
which comprises senior members of the Management Apparatus. Within the limits of
delegated authority and responsibility by the Board of Directors, Executive
Management operates through further delegation of authority at every echelon of the
line management. The executive Management operates within the framework of
Policy & Planning strategies set by the Top Management with periodic performance
reporting for guidance. The Executive Management is responsible for preparation of
segment plans / sub – segment plans for every profit centers with budgetary targets for
every items of goods & services and are held accountable for deficiencies, with
appreciation for outstanding and exceptional performances. These operations are
continuously carried out by the Executive Management through series of Committees,
sub –Committees, Committees & standing Committees assisting the line management.

28
Management Committee:
Comprising top executives, deal with entire organizational matters.
Standing Committee:
Standing Committee comprises the following committee:
Audit Committee:
• Internal Audit Committee
• ISO Audit Committee
• Social / Environment Committee
• Performance Evaluation Audit Committee
Employment Relations Committee:
• Remuneration Committee
• Work Environment Committee
• Performance Evaluation Audit Committee
Management Committee:
• Product Planning & Development Committee
• Quality Control & Research Committee
• Production & Inventory Management Committee
• Export Promotion Committee
Products:
In two units of Square Textile Ltd. The following products are produced :
In Square Textile Ltd. Product range Engineering stripe and semi jacquard, plain ,
pique , Four Neddle structure , Crepe rib , Interlock , Drop needle , Crossmiss ,
Milano rib , etc.
In Square. Following types of products are produced T-shirts & Polo- shirts, Tank
tops , Pajamas, Sport wear , Under garments , Mens & Ladies fashion wear ,
Kidswear etc.

Place:
Export oriented ready made garments industry operating in Bangladesh are the main
purchaser of products of Square Textiles Ltd. The size of export oriented RMG
industry is fairly large in Bangladesh . So there is a huge market for Square Textiles
Ltd. In Bangladesh. Moreover products of Square Fashions Ltd. Are exported to
Europe and USA.

29
Promotion:
Square Textiles Ltd. Does not pursue any rigorous promotional activity . As most of
the purchaser are export oriented garments, they don’t need to be promoted . Infact,
the buyers themselves are aware enough from where they will get quality products. So
there is not much room to pursue. For the UK and USA based market this fact is true
as well .
Finally, the flourishment of any industry requires combined efforts and co-operation
from several parties. Social, political and macro economic environment play pivotal
role in this regard. Though Square Textile is a newly Ventured Company in the
respective sector, its growth and expansion is praiseworthy. Its contributing the
country and serving the nation in different ways. If it can up hold its much toward
advancement, it will be able to set a role model in our country.

4.2 Trendz Group

Trendz Group is a group of companies in trendy garments business. The group


consists of apparel buying agent, manufacturing and exporting companies located in
Dhaka, Bangladesh. Bangladesh is a hotbed of garments manufacturing; now
ranking fifth highest in the list of garments exporting nations and after over taking
India. Please read the news here. Bangladesh is the only country in the world that can
produce textile items at least 20% to 30% cheaper than China. Please also see
comparison of Bangladesh and India in recent news.
The range of our product line, higher quality, and competitive prices have made us
one of the fastest growing companies of its kind in Bangladesh. We have strategically
taken orders that enhanced and enriched both its employees' technical skills as well as
its level of quality. Our staffs have been directly recruited from the top most garment
houses of the country. We have also a marketing office in Canada for convenience of
North American buyers. We currently represent a number of major importers from
USA, Canada, European countries (Italy, Spain, UK) and Australia.

30
Trendz started business in Bangladesh for some reason:

 Cheapest labor cost and cheap living cost allows the lowest manufacturing
cost in the world.
 No quota barrier for exporting to USA.
 Major Cotton growing country with one of the best cotton qualities in the
world.
 Fully developed textile industry, which is truly fiber to fashion production
center.
 Fully developed auxiliary industry to cater to the apparel and textile industry.
 Trendz is one of the rare company in Bangladesh who owns and follow a
quality manual compliant to international code and standards.
 In-house expertise in initial sampling & pattern making.
 Strong network in sourcing all over the country.
 Variety of embroideries and patch/appliqué work, ethnic and exquisite hand
work.
 Varieties of prints in hand, machine & all over.
 Different kind of washes and dyeing, antique look range, print options.
 Dedicated and professional corporate management team with over a decade of
experience in the field.
 A marketing office located in Canada to serve foreign buyers more closely.

Trendz is one of the leading trendy apparel manufacturer & buying agent located in
Bangladesh helping foreign buyers. We provide services to the foreign buyers
concerned with identifying the products in the Bangladeshi market, negotiating prices
and proper sourcing of products. We assure the highest degree of professionalism and
provide wide variety of services to the foreign buyers. Our presence in the
international market keeps us well-informed of customer tastes and changing market
scenarios.
We offer fast and reliable delivery, excellent Quality Control and flexible
manufacturing and production options. We have a unique methodology of paper work
that is immaculately followed and managed by our team. Our team consists of highly
professional; the most skilled personnel hired from top most garment companies of

31
the country. Our team consists of management, merchandisers, quality control,
schedulers, and commercial personnel. We also have a marketing office in Canada to
have continuous connection with North American Buyers.

Our Strengths
 Strong network of sourcing. With our extensive network of suppliers from all
over Bangladesh, TRENDZ is well placed for proper vendors selections for
your valued orders. Which includes keeping well in mind your pricing, quality
and delivery requirements prior to best vendors selections for your orders.
Also should your orders be requiring certain fabrications which are made more
expensively we can produce in Bangladesh better than India, Pakistan, china
and Taiwan quality through our extensive network sources.
 Trendz is one of the rare companies in Bangladesh who owns and follows a
quality manual compliant to international code and standards.
 In-house expertise in initial sampling & pattern making.
 Hi-fashion garment with lot of value addition.
 Variety of embroideries and patch/appliqué work, ethnic and exquisite hand
work.
 Varieties of prints in hand, machine & all over.
 Different kind of washes and dyeing, antique look range, print options.
 Dedicated and professional corporate management team with over a decade of
experience in the field.
 A marketing office located in Canada to serve North American buyers more
closely.

Our Services

Sampling
We can guarantee to manufacture the sample within 4 to 7 days.
1. Collecting customer’s requirement of fabric and style.
2. Identifying and selection of appropriate source.
3. Preliminary screening by inspection and testing.
4. Forwarding samples to the customer and receiving feedback.

32
Pricing
Our huge networking in Bangladesh allows us to provide the cheapest price available
in Bangladesh.
1. Receiving and verifying the quotations of suppliers by studying their suitability
both in terms of quality and capacity to meet contractual requirements.
2. Negotiation and finalization of price.

Order Progress Process


On receipt of orders based on above, discussing with suppliers on process planning,
preparation of critical path by highlighting critical stages involved.

Production Monitoring
Monitoring the production is one of our main services to our clients because once the
product cut wrong it will stitch wrong, so we do monitor every step deeply, from
fabric, it's dying, the shrinkage, the patterns, the cutting layers, bundling, distribution
on the machines, general checking, washing, cropping, pressing, final checking,
tags/stickers placements etc, packing in bags, master bags, cartons and it's quality and
marking etc, so nothing will be left which will make problem for our clients.

Product Development
We know the marketing of any company or any product is not so easy, for marketing
purpose most of the buyer's demand several samples to show them to different clients,
so we develop them with our existing suppliers according to the buyer's requirements
in timely manner. Other then that order related samples are always be there like
approval sample, size set, sales samples (if need).

Weekly Progress Report


Meeting with Merchandiser, Quality Controller and Logistic staff will be held every
Saturday and status will be e-mailed to customers on every Monday. This will enable
all the customers to verify their order progress.

33
Quality Progress Report
Trendz is one of the few garment manufacturing/ trading companies in Bangladesh
who owns a quality plan compliant to international code/ standards (such as MIL,
AATC, ASTM and ISO codes).
Quality Assurance is conducted in 4 stages of production.
1. Pre production check (PPC)
2. Initial production check (IPC)
3. During productions check (DUPRO)
4. Final random inspection (FRI)

Shipment
Arranging vessel for shipment with the forwarders and follow up shipment points for
smoother connections. The above are some of the important activities we perform to
provide a very effective service.

Workplace environment
We believe work place environment is the most important factor to get the best
performance from the employees. Our goal is to exceed requirements of local
legislation and reach the global standards, and thereby support clients’ images and
sourcing principles. Our factories strictly maintain safe, healthy and hygienic
provisions as per ILO and Bangladesh Labour Act, 2006. We also believe in quality
can not compromise with quantity. our factories are quality management system ISO
9001:2000 certified.
Trendz adopts a rigorous selection process for garment manufacturer ensuring only
those that are totally committed to exceeding our high ethical standard become
appointed suppliers.
We recognize and honour our duty to protect the workforce used in the manufacture.

We also ensure the factory has the following facilities employees:


 Children must not be employed below the legal minimum age required by the
law of the individual country
 A day care centre for employees' children
 Full time medical doctor with medical beds are available in the factory
premises.

34
 Free work time medical assistance, medicine and proper first aid boxes
 Trained fire fighting team along with training program and drill for fire
escaping are fully followed every month.
 Employees are to be paid no less than the legal minimum wage as required by
the law of the individual country
 Working hours must not exceed those set out by local legislation and over
time must be voluntary
 Maternity leave must be made available to all female employees
 Good working conditions must prevail. The provision of adequate wash room
facilities and a canteen are essential
Regarding safety we ensure the factory has taken minimum level of precautions
against fire, mechanical and chemical hazards. There are clearly marked evacuation
zones and routes to be used in emergencies along with fire safety equipments like fire
hydrants, smoke detector, fire detector, gas mask, lock cutter etc. As per ISO
requirements, instructions and warning signs are posted in highly visible places,
inside the factory and in local language (Bangla).
In order to ensure continued compliance, are manufacturers are frequently inspected
and reported by local independent agents. As a further safeguard, unannounced
inspections are regularly made by Trendz management.
If you have concern of any workplace, please do not hesitate to contact us. Up-to-date
audit reports are available on request.

Quality Control
Mid–inspection to ascertain that initial discrepancies have been rectified and to check
the average quality standard of the available production. At this stage finished
products shall be checked against buyer’s specification and prototype sample.
Deviations shall be identified and brought out for correction. Inspection during
production is carried out to check and verify that the initial discrepancies have been
rectified and to ensure the average quality standards of production runs. At this stage
of inspection involves:
a) To determine whether products have been made according to specifications /
if meet standards / if products are acceptable.
b) 100% inspection of finished goods
c) Statistical quality control

35
d) Proportion and type of defects in the total production lot.
e) Trendz uses acceptance sampling based on sampling plans (single, double,
and multiple).
f) Monitoring the garment assembly process.
g) Finished garment evaluation
h) Mill flaw and general repair. Make a separate log for sampling and identify
inefficient operators. Verbal, written and then termination of operators shall be
followed in failing to prove their quality of workmanships.
Final random inspection (FRI):
At his stage, random inspection is carried out when the total 90% consignment is
packed and ready for shipment. Inspection is performed according to the international
inspection standards. The detailed physical inspection of the sample selected at
random is based on specifications of the buyers and it covers the criteria such as
design/style, accessories, measurements, packing etc. The quality checks for FRI are
as follow:
a) Quality assurance while goods are stored at plants, and distribution centers.
b) Quality audits to determine the defect level of the output.
c) Auditing, monitoring, and reporting quality of finished goods, packing, and
shipping in distribution centers.
d) Analysis of returned merchandise by customers.

Status reporting during IPC, DUPRO, FRI


As part of the above stages (IPC/ DUPRO/ FRI) the execution of the order according
to the delivery schedule will be monitored and the client will be advised problems
through formal reporting.
Based on the contractual delivery date the inspections are be scheduled provisionally
upon reception of the inspection order. Reporting of delays anticipated is an integral
part of our full service and is important to client

36
4.3 Bextex Ltd.

Bextex Ltd. (the "Company") was incorporated in Bangladesh as a Public Limited


Company with limited liability on 8 March 1994 and commenced commercial
operation in 1995 and also went into the public issue of shares and debentures in the
same year. The shares of the Company are listed in the Dhaka and Chittagong Stock
Exchanges of Bangladesh.

Bextex Ltd. is the most modern composite mill in the region. Bextex Ltd. has an
installed capacity of 288 high-speed air-jet looms in its weaving section and a high-
tech dyeing and finishing section with a capacity of 100,000 yards of finished fabric
per day. This company is located at the Beximco Industrial Park.

Bextex Ltd. has a state of the art composite knit fabric production mill, which serves
the growing needs of high-quality knit garments exporters in Bangladesh. The project
was set up as a state of the art knit fabric knitting, dyeing and finishing facility.
During the year the Company produced and sold high quality of knit fabrics and
bringing forth all the latest in hard and soft technologies in knitting, dyeing and
finishing of knit fabric.
Bextex Ltd. also has a cotton and polyester blended yarn-spinning mill, with 122,000
spindles is one of the largest spinning mills of the country. The mill was set up to feed
the country’s export oriented industries.
Bextex Ltd. produces specialized finishes of denim cloth for export in finished as well
as cloth only form.
Our Mission:
BEXTEX Ltd. is a full service vendor with strong vertically integrated production
facilities as well as creative & analytical capabilities which clearly sets us apart from
most other South Asian vendors.

Our Vision:
• Gain market leadership in high value added apparel in USA & Europe.
• Use “Innovation” & “Speed” as prime drivers, rather than cotton & cheap labour .
• Dominate these markets in high quality:
 Men's, Women's , Children

37
 Shirts ( Dress & Casual )
 Blouses ( formal & casual ) , Skirts, Jackets
 Jeans & Casual non - denim bottoms
 Knitted tops & bottoms

Our Commitment to the Environment:


Our company is very committed to preserve a healthy and pollution-free
environment. It has a very efficient waste collection and disposal system. In order to
reduce air pollution by exhaust of gas from engine-generators, it maintains a costly
plant that uses the exhaust gas to generate steam for chilling unit. Above measures not
only help keep the water & air free from pollution but also help save cost of water
treatment & air conditioning. Your company uses only AZO-free dyes and is
dedicated to ensure a healthy and eco-friendly environment.

Products
Yarn Products
 Count - Ranging from 6 – 120
 Fiber - Cotton ( super – combed, combed, carded)
 CVC - 60% cotton, 40% polyester
 TC - 65% polyester-35% cotton; 100% polyester both regular and sewing
thread
Lyocell, Tencel, Modal, Rayon, Viscose etc.
Fabric Products

Solid Dyed
Poplins, Twills, Dobbies, Oxfords, Seersuckers, Canvas, Rib stops in 100%
Combed Cotton , CVC and CVS/TC , Stretch , Satten
Yarn Dyed
Ginghams , Stripes, Fil-a-fils/End-on-ends, Chambrays, Seersuckers, Pinpoint,
Oxfords, Dobbies, Plaids in 100% Combed Cotton, CVC and CVS/TC, Stretch,
Satten
Finishing
Wrinkle Free, Easy Care, Peach, Chintz, Paper Touch, Teflon Coated, Water
Repellent, Water Resistance, Rubberized,

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Dobby Designs
Herringbones, Bedford Cords/Coteles, Waffles and various structures in 100%
Combed Cotton, CVC and CVS/TC,
Yarn Count
 Ranging from 7 to 120

Knit Products
 Jersey : In 100% Combed Cotton, CVC, CVS/TC, and Lycra mix
 Polo Pique : In 100% Combed Cotton, CVC and CVS/TC
 Back Pique : In 100% Combed Cotton, CVC and CVS/TC
 Herringbone : In 100% Combed Cotton and CVS/TC
 Popcorn : In 100% Combed Cotton and CVS/TC
 Bubble Knit : In 100% Combed Cotton, CVC and CVS/TC
 Crepe : In 100% Combed Cotton and CVS/TC
 Engineering Stripe : In 100% Combed Cotton and CVS/TC
 Feeder Stripe : In 100% Combed Cotton and CVS/TC
 Auto Stripe : In 100% Combed Cotton and CVS/TC
 Rib : In 100% Combed Cotton and CVS/TC
 Jacquard : In 100% Combed Cotton and CVS/TC

Denim Products
 Chambray : In classic indigo colours ranging from 4oz to 5.5oz/Yd2
 Denim (blue) : In classic indigo colours ranging from 4oz to 15oz/ Yd2
 Denim (black) : In sulfur black colour ranging from 4oz to 15oz/ Yd2
 Colored Denim : In a variety of colours - both in sulfur & reactive dyes(warp
dyed)
 Over dyed Denim : In a variety of colours on indigo blue & sulfur black
 Bull Denim : In a variety of reactive colours ranging from 10oz to 13oz/ Yd2
(piece dyed)
 Stretch Denim : In classic indigo colours ranging from 4.5 oz to 13.75
oz/Yd2

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Special Yarn Products
Plied Yarn, Fancy Yarn, Slub Yarn (7's to 20's), Stretch both Lycra (10's to 40's) and
Spandex and other Core Spun, Multi count, Multi Twist etc.

Unique Wrinkle-Free product

CORTEK-2000
mbedded filament core, which makes it permanently wrinkle-free. no resins or
chemicals are used making the fabric ecologically friendly as well as highly durable.
The technology provides the soft, natural comfort of cotton and the wrinkle-free
convenience and strength of synthetic fibre. Beximco is the manufacturer and
exclusive licensee in bangladesh of Cortex-2000, USA.
COTRA DP 3.5 +
This is a 100% cotton fabric, which is chemically, treated in a hi-tech precure process
which is safe, clean and ecologically friendly. The result achieved meets a durable
press rating of dp 3.5+ (aatcc - 124).
Previously, this result could only be achieved by ammonia processing which is
rapidly becoming obsolete, as it is hazardous to health and environment.
Beximco is the manufacturer and exclusive licensee in bangladesh of Cotra dp 3.5 +,
USA.
Production
Bextex Ltd. is a fully vertical unit from Yarn Spinning to Apparel Manufacturing,
Printing, Washing and Packaging.

1. Yarn Spinning :

The spinning mill produces cotton , polyester , viscose yarns in special counts from
100,s, 80’s to coarser counts like 10’s , 16’s etc applied for super formal shirting
products to heavy duty casual wear fabrics.

40
Multi twist, Multi count, Slub yarns , Grindle yarn and Melange yarns and stretch
yarns using lycra are the special items required for fashion fabrics which are also
produced inhouse and used for shirtings , knist and bottomweight fabrics (both denim
and non denim)
The flexibility to provide a variety of yarns leading to fashion products as an end
product is the key focus of mill.

2. Fabric Weaving :

The Vertical infrastructure of Beximco allows the development of fabrics in a wide


range of weights (counts and constructions), color combinations using 6 colors on the
weft to create colorful patterns.

The highly sophisticated CAD software can replicate patterns , weaves and designs
easily and fast. Dobbies, Voiles, Gauze fabrics , high density poplins and twills,
double face colourful fabrics can all be produced in variety of loom combinations
which are applied to the end product for feminine or masculine products and
categories .

3. Processing and Finishing


:

In the fabric finishing stage we have facilities to produce post mercerised, aero-
finished, denim and other bottom weight fabrics using Italian Biachilani machines as
well as the facilities to produce over-
dyed and coated fabrics.

4. Apparel
Manufacturing :

41
Beximco produces Mens, Womens and childrens garments in all fashion categories
from superior dress shirts to regular formal shirts, casual styled garments with fashion
sillhoutes and details with prints , embroideries etc and also laces and high detail cut
and sew styles.

Knit , Woven , Denim and Non Denims categories are all produced in specialized
factories with complicated and detailed styles.
The well qualified industrial engineering in the garment factories control the highly
stylized garments which is a unique and special department for garment industry.

5. Sewing Thread & Labels Manufacturing


Beximco is one of the rare companies that also has inhouse manufacturing facilities
for Label making, sewing thread making which gives it an edge for faster turn around
and changes as per the customer requirement. The sewing thread ranges in diff counts
and blends and this can be used for casual or formal clothing items.

6. Printing
Beximco has its in-house flat bed printing facility backed by screen exposing and
screen making facilities. All designs and screens can be produced in-house The
printing unit can do quality placement prints in foil, flock, plastisol , rubber printing ,
embossed effects.
7. Embroidering
To further enhance the value addition with quality supervision of the fashion
garments, the embroidery unit is encompassed within the infrastructure. Embroideries
in many colours and stitch counts can be produced in special computerized machines
with needles.
8. Washing
We have a large capacity washing plant, which was setup with German collaboration
and special distressing and finishing capabilities. We can do garment dyeing, all types
of whiskering, three-dimensional effects using different resins, enzymes, bio-
polishing, sandblasting, etc. We mostly produce very high fashion garments. Our
technical washing experts have over the years been trained by Germans, Italians,
Turkish, Chinese and Tunisian experts and have had a broad International exposure.

42
Moreover, we have a close association with Italian washing experts, who work with
us every season to develop new ranges of products.
9. Packaging
To complete the whole supply process from the yarn to the final garment, the
packaging is an integral part at the end of the chain. Beximco has its own paper
and carton making facility in order to provide the required sizes , qualities and
other details that can be easily incorporated into the final shipments of the orders.

Services
Speed to Market Opportunities
 Supply chain model based on a relationship of trust and simple, short
procedures
 Marketing model based on affordable, quick change fashion.
 Clear projection or commitment and firm booking of capacity.
 Maximize design, product development capability of manufacturer, in
collaborative design process.
 On-spot placement of order after reviewing of designs.
 Focused product development. Higher adoption rate from collection.
 Vertical facility enabling quick response, which allow us to produce from
Yarn to Garment in fifty days and repeate orders in thirty days, leading to
reduced markdowns.

43
Design Studio - Mission
To provide design and product development support from fiber to garments to leading
retailers and brands using integrated manufacturing resources, powerful CAD tools,
technology collaboration with major suppliers (like CIBA, DuPont etc.) and interface
with fashion forward customers, rapidly develop and bring trendy, innovative
differentiated products to our strategic partners every season. Our Design Studio
works to produce entire collections with Inditex including womens and mens clothing,
woven and knit tops, casual and denim bottoms and jackets. We have now introduced
a catalogue which will highlight our concept of complete new looks, products and
fabric swatches and we will be sending one of these to all our key customers almost

every eight weeks.


Resources employed to fulfill the mission
 25 highly qualified designers who travel the world visiting fairs, interfacing
with the designers of fashion forward customers and competitive buying from
well known fashion outlets
 150 people working in sewing room dedicated to design team
 Dedicated yarn dyeing, warping and washing facilities for design team
 Koppermann advanced German networked CAD system

44
Beximco Partners with Major Retailers & International Brands

CHAPTER FIVE

HR PRACTICES & POLICY IN GARMENTS INDUSTRY

45
CHAPTER 5
HR PRACTICES & POLICY IN GARMENTS INDUSTRY

5.1 HR PRACTICES IN GARMENTS INDUSTRY:

46
Garments Industry has a personal and administrative Department. Garments Industry
is one of the biggest and the total number of employers in Bangladesh. For the
employees there is systematic in house training in home and abroad. To motivate the
employees, along with salary and benefits the company provides various facilities like
free meals , free transportation , 24 hour medical center , on site sports . Production
and accommodation facilities include full time supply of safe drinking water,
adequate lighting and ventilation facilities from sheet.

Recruitment and Selection process

Training and Development program

Performance Management

Employee relation

Job analysis

Job Design

Incentives

Benefits

5.1.1 RECRUITMENT AND SELECTION PROCESS IN GARMENTS


INDUSTRY:

Recruitment is the process trough which the organization seeks applicants for
potential employment. Selection refers to the process by which it attempts to identify

47
applicants with the necessary knowledge, skills, abilities and other characteristics that
will help the company achieve its goals, companies engaging in different strategies
need different types and numbers of employees. The strategy a company is pursuing
will have a direct impact on the types of employees that it seeks to recruit and
selection.

Source of recruitment

There are two kinds of source Garments Industry uses for recruitment .They are

1. External Source

2. Internal Source

We try to discuss all relative sources which are used for recruitment in Garments
Industry.

1. Internal source

Maximum Garments Industry thinks that current employees are a major source of
recruits for all but entry-level positions. Whether for promotions or for ‘Lateral’ job
transfers, internal candidates already know the informal organization and have
detailed information about its formal policies and procedures. Promotions and transfer
are typically decided by operating managers with little involvement by HR
department.

1.1Job-posting programs

HR departments become involved when internal job openings are publicized to


employees through job positioning programs, which informs employees about
opening and required qualifications and invite qualify employees to apply. The
notices usually are posted on company bulletin boards or are placed in the company
newspaper. Qualification and other facts typically are drawn from the job analysis
information.

48
The purpose of job posting is to encourage employees to seek promotion and transfers
the help the HR department fill internal opening and meet employee’s personal
objectives. Not all jobs openings are posted .Besides entry level positions, senior
management and top stuff positions may be filled by merit or with external recruiting.
Job posting is most common for lower level clerical, technical and supervisory
positions.

1.2 Departing Employees

An often overlooked source of recruiters consists of departing employees. Many


employees leave because they can no longer work the traditional 40 hours work
week .School, child care needs and other commitments are the common reason. Some
might gladly stay if they could rearrange their hours of work or their
responsibilities .Instead, they quit when a transfer to a part-time job may retain their
valuable skill and training. Even if part-time work is not a solution, a temporary leave
of absence may satisfy the employee and some future recruiting need of the employer.

2. External source

When job opening cannot be filled internally, the HR department of Garments


Industry must look outside the organization for applicants. We discuss all the external
source of recruitment at bellow:

2.1 Walk-ins and Write-ins:

Walk-ins are some seekers who arrived at the HR department of Garments Industry
in search of a job; Write-ins are those who send a written enquire .both groups
normally are ask to complete and application blank to determine their interest and
abilities. Usable application is kept in an active file until a suitable opening occurs or
until an application is too old to be considered valid, usually six months.

49
2.2 Employee referrals:

Employees may refer job seekers to the HR department .Employee referrals have
several advantages .Employees with hard –to –find job skill may no others who do the
same work.

Employee’s referrals are excellent and legal recruitment technique, but they tend to
maintain the status quo of the work force in term of raise, religions, sex and other
characteristics, possibly leading to charges of discrimination.

2.3 Advertising

Want ads describe the job and the benefits, identify the employer, and tell those who
are interested how to apply .They are most familiar form of employment
advertising .for highly specialist requites, ads may be placed in professional journal or
out of town newspaper in areas with high concentration of the desired skills

Example:

General Manager- production (ref: PM)

-Age: 28-35 years; Graduate with specialization in garment mfg technology from
NIFT or equiv.

-Minimum 10 years experience in similar position of a unit with a minimum of


1000machines.
-Must have detailed hands on knowledge of industrial engineering.

We offer competitive salary which is commensurate with experience and


qualification.
If you aspire to an exiting and rewarding career, send your detailed resume, quoting
your present and expected salaries to jobs.

2.4 Internet

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Now today no body thinks anything without internet. So Garments Industry give their
advertise at internet.

Example:

WWW.bdjobs.com
www.square.bd.com

5.1.2 TRAINING AND DEVELOPMENT IN GARMENTS INDUSTRY:

Training is a process of learning a sequence of programmed behavior. It is application


of knowledge. It gives people an awareness of the rules procedures to guide their
behavior. It attempts to improve their performance on the current job or prepare them
for an intended job.

Development is a related process. It covers not only those activities which improve
job performance but also those which bring growth of the personality; help
individuals to the progress towards maturity and actualization of their potential
capacities so that they become not only good employees but better men and women.
In organizational terms, it is intended to equip person to earn promotion and hold
grater responsibility.

There are many types of method practices in Garments Industry .we discuss that
method at bellow:

On the job training

On the job training is a training that shows the employee how to perform the job and
allows him or her to do it under the trainer’s supervision

On the job training is normally given by a senior employee or a manager like senior
merchandiser or a manager. The employee is shown how to perform the job and
allowed to do it under the trainer’s supervision.

Job rotation

51
Job rotation is a training that requires an individual to teach several different some in
a work unit or department and performer each job for a specified time period.

In job rotation, individuals learn several different jobs within a work unit or
department. One main advantages of job rotation is that it makes flexibilities possible
in the department. When one employee like junior merchandiser absence another
merchandiser can easily perform the job.

Apprenticeship training

Apprenticeship training provides beginning worker with comprehensive training in


the practical and theoretical expect of work required in a highly skilled occupation.
Apprenticeship program combined of the job and classroom training to prepare
worker for more than eight hundred occupation such as computer operator, sewing
technician.

Classroom training

Classroom training is conducted off the job and probably the most familiar training
method .It is an effective means of imparting information quickly to large groups with
limited or no knowledge of subject being presented. It is useful for teaching factual
material, concepts principle other theories .portion of orientation programs, some
expects of apprenticeship training and safety programs are usually presented utilizing
some form of classroom instruction. More frequently however, classroom instruction
is used for technical, professional and managerial employee

Development of the human resources

The long term development of human resources as distinct from training for a specific
job is of growing concern to HR departments of Garments Industry .Throw the
development of current employees the department reduces the company’s dependents
on haring new workers .if employees are developed properly the job openings found
throw HR planning are more likely to be filled internally promotions and transfers
also show employees that they have a career not just a job. The employee benefits
from increased continuity in operations and from employees who fail a greater
commitment.

52
HR department is also an effective way to meets several challenges including
employee obsolescence, international and domestic diversity, technical challenges.
Affirmative action and employee turn over. By meeting these challenges the
department can, maintain an effective workforce.

Steps in the Evaluation of training and development

Evaluation criteria > pretest > trained or developed-

workers > posttest > transfer to the job > follow-up studies.

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5.1.3 PERFORMANCE MANAGEMENT:

Performance appraisal is the process of assessing employee’s past performance,


primarily for reward, promotion and staff development purposes.

‘Performance appraisal (is) a process that identifies, evaluates and develops employee
performance to meet employee and organizational goals.

Performance Appraisal doesn’t necessarily use to blame or to provide a disciplinary


action. Previous management theories used to view performance appraisal as a stick
that management has introduced to beat people. Performance appraisals are now more
clarified and they concentrate on developing organizational strengths and employee
performance.

Purpose of Performance Appraisal in Garments Industry

To review past performance

To assess training needs

To help develop individuals

To audit the skills within an organization

To set targets for future performance

To identify potential for promotion

To provide legal & formal justification for employment decision

To diagnose the hidden problems of an organization

Performance Appraisal Process

Who Appraises

54
• Supervisors
• Subordinates
• Peers
• Clients/customers
• Self appraisal

• 180/360 degree approach

Approaches to measuring performance in Garments Industry

There are various kind of method for measuring performance appraisal. But we get
information that Garments Industry uses only three type of performance method.
These are at below:

1. 360- degree feedback

2. Experience based.

We describe those at below:

1.360-degree feedback

One currently popular methods of performance appraisal is called 360-degree


feedback. With this method managers peers, suppliers or colleagues are ask to
complete questionnaire. The questionnaires are generally lengthy.

2. Experience based

Garments Industry measure the performance of employee by experience. For example


MR. X has been working in A Garments Industry for three years and MR. Y has been
working in A Garments Industry for two years. So A Garments Industry favors MR. X
for his more experience.

5.1.4 EMPLOYEE RELATION:

Employers and employees each have their own sets of needs and values, and
successful relationship between these two sides requires that some sort of balance be

55
struck. This balance often takes the form of a psychological contract, an understood
agreement between employer and employees that defines the work relationship. This
contract with or without support of a formal collective bargaining, agreement
influence the outcome achieve by each side.

Garments Industry group the various into three channel categories those are

1. Employee safety

2. Employee health

3. Employee working condition

1. Employee safety

Garments Industry provide the employee safety .It ensure the all kinds of job safety
such as insurance of each employee not this it provide insurance to the labor.

2. Employee health

Free medical checkup, provide health card and also provide necessary medical
facilities for each employee.

3. Employee working condition

The working condition of employee is very hygienic

5.1.5 JOB ANALYSIS:

Job analysis is the procedure for determining the duties and skill requirement of a job
and the kind of person who should be hired for it.

The supervisor or HR specialist of Garments Industry normally collects one of the


following types of information:

56
Work activities

First he or she collects information about the job actual work activities such as
marketing, sewing, production. This list also include how, why and when the worker
performance each activity.

Education and qualification

Collects the information about education background and qualification.

Experience

Experience must be needed for any job in Garments Industry. But sometimes it
consider for fresher worker.

Sample of job analysis of Garments Industry:

Quality control manager

Qualification

Master in any subject

Bachelor/diploma in textile and clothing or related discipline will be given preference

Must have at least 7 years practical experience in similar position in any garments
factory.

Cutting Astt. Manager (cum in-charge)

Qualification

Masters/ bachelor in any subject preferably commerce.

Bachelor/diploma in textile and clothing or related discipline will be given preference

57
Must have at least 7 years practical experience in similar position in any garments
factory.

Ware house Astt. Manger

Qualification

Masters/ bachelor in any subject preferably commerce.

Bachelor/diploma in textile and clothing or related discipline will be given preference

Must have at least 5 years practical experience in similar position in any garments
factory
Production Officer (Sewing)

Qualification

Graduate /HSC

Must have at least 3 years practical experience in similar position in knit garments.

Sewing Technician

Qualification

Graduate /HSC

Must have at least 5 years practical experience in similar position in knit garments.

Experience and skill for all above jobs:

Candidate must have experience to work with world reputed buyers

Good writing and communication both in Bengali and English

Should be capable of making QA reports on daily basis

Computer literacy in MS world , Excel , e-mail etc.

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5.1.6 JOB DESIGN:

Job design is the process of structuring work and designating the specific work
activates of an individual or group of individuals to achieve certain organizational
objectives.

The job design can generally be divided into three phases:

1. The specification of individual task.

2. The specification of the method of performing each task

3. The combination of individual tasks into specific job to be assign to individual

Organizational considerations for job design

Effectiveness

In the context of job design, to remain effective, organizations may have to redefine
jobs, monitoring, and using technology so that the firm can even compete against
giant rivals.

Efficiency

Maximum outputs through minimum inputs of time, effort and other resources. In the
context of job design, efficiency in time, effort, labor costs, and training should be
done accordingly.

Technological Considerations

Task Interdependence

The dependence of one task from another is task dependence. In this context, the task
interdependence can be high or low depending on the product or service.

59
Technical constraints

Scarcity of machines are constraints, which in turn leads to the increase and decrease
of production.

60
Ergonomic constraints

Greek word where Ergo = Work & Nomos = Laws, i.e Laws of work. Optimal
productivity requires a relationship between the worker and the work, thus designing
a job needs this consideration.

Employee considerations

Skill variety

Variety refers to the use of different skills and talents to complete an array of work
tasks and activities.

Autonomy

Autonomy refers to the freedom and independence to plan and schedule the work and
determine the procedures used to carry it out.

Task identity

Task identity means doing something from beginning to end rather than just part of it.

Task significance

It is the degree to which a job has substantial impact on an organization.

Feedback

Feedback is the degree to which employees can tell how well they are doing based on
information from the job.

Environmental considerations

Social expectations

61
In designing jobs, the surrounding social expectations must be considered to avoid
possible worker dissatisfaction.

Workforce availability

Job requirements should be balanced against the availability of the people who are
required to do the work.

62
Work practices

Work practices are set methods of performing work. These methods may arise from
tradition or the collective wishes of employees.

5.1.7 INCENTIVES:

Compensation fluctuates according to

– A pre-established formula

– Individual or group goals because group goals are different from individual goals
– Company earnings

Incentives adds to base pay

It controls costs because the employee is being paid for his/her extra effort and for the
benefits brought to the organization.

Motivates employees

Incentive Pay Categories

Individual

Group

Company-wide

Individual incentive plans

– Quantity of work output (How many units produced)


– Quality of work output (What was the quality of the product or service being
produced or served)

– Monthly sales (How much sales was generated)

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– Work safety record (How many hazard or errors are being reduced.
– Work attendance (If the absent is reduced or attendance is good)

Group Incentive

Performance Measures

Group incentive plans

– Customer satisfaction

– Labor cost savings

– Materials cost savings


– Reduction in accidents
– Services cost savings
Company-Wide Performance Measures

Company-wide incentive plans


– Company profits
– Cost containment/prevention
– Market share
– Sales revenue

Individual Incentive Plans (Piecework plans)

• Awards based on individual


production vs. company standards
• Awards based on individual
performance standards using
objective & subjective criteria
• Quantity and / or quality goals

Advantages and disadvantages of Individual Incentive Plan

64
• Advantages
– Helps relate pay to performance
– Promotes equitable distribution of compensation
– Helps retain best performers
– Compatible with individualistic cultures and societies

• Disadvantages
– May promote inflexibility
– Unrealistic standards may hamper employee motivation
– Setting performance standards is time consuming
– Factors beyond employee’s control may affect outcomes
– Factors not rewarded may be overlooked

Group Incentive Plans

• Rewards employees for their


collective performance
• Group incentive use has increased in industry
• 2 types
– Team - based or small group
– Gain sharing

Company-Wide Incentive Plans

• Rewards employees when company


meets performance standards

• 2 Types
– Profit sharing plans
– Employee stock option plans

Competitive Strategies

65
• Lowest - cost
– Lower output costs per employee
– Individual & group incentive plans
– Behavioral encouragement plans

• Differentiation
– Unique product or services
– Creative, risk - taking employees
– Long - term focus
– Team - based incentives

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5.1.8 BENEFITS OF GARMENTS INDUSTRY:

Employee benefits & services were formerly known as fringe benefits and these
benefits were primarily the in-kind payments employees receive in addition to
payments in the form of money.

In addition to paying employees fairly and adequately for their contributions in the
performance of their jobs, organizations assume a social obligation for the welfare of
employees and their dependents

Employees benefits are usually inherent components of the non-compensation system


are made available to employees that provide:

– Protection in case of health & accident

– Income upon retirement & termination

These benefits are components that contribute to the welfare of the employee by
filling some kind of demand.

Legally required benefits of Garments Industry

SAFETY AND SECURITY

• Social Security

– Social security benefits include the general benefits like unemployment insurance &
benefits, old age insurance, and Medicare facilities.

SAFETY PRECAUTION: All machineries or equipment are well protected as per


local laws as well as international factory safety guidelines.

BUILDING AND STRUCTURE: Building and its associated civil structure have
been constructed for industries as per approved design of local Govt. authority.

MACHINERY AND PLANT: All machines and equipment are well protected to
ensure workers safety. Proper Bi-lingual (Bangla & English) safety notice
/instruction is set to individual equipment. No one is allowed to use any metallic pin
inside the production area. Entire floor area kept cool with industrial chilling unit.

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WORK-ON OR NEAR MACHINERY IN MOTION: Proper working instruction and
notice (bilingual) are attached /put to all machineries and workers to follow the
instruction.

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FIRE FIGHTING:

As per floor area, sufficient number of different types or size portable fire
extinguishers have been placed and defined by special mark for easy locating during
emergency. Periodically local fire service or civil defense department has inspected
the production floor and given the certificate.

SMOKING AND NAKED LIGHT:

Smoking is strictly prohibited at any time, on any day in the factory. Only explosion
proof light is authorized to be used in the factory.

TRAINED SECURITY PERSONNEL:

There is a strong security team for full time security for man and material of the
company or any anti terrorist act.

HEALTH AND ENVIRONMENTAL POLICY:

FACTORY CLEANLINESS: Factory is always keeping clean by well organized


cleaner & sanitary team . Industrial vacuum-cleaning machine is being used on a
regular basis for dirt free interior.

DISPOSAL OF WASTE & EFFLUENTS: There is an insignificant quantity of raw


material (fabric & trims) waste, packaging material and fabric cut pieces which, are
disposed of through local vendor. Usually they (Vendor) crush fabric cut pieces into
cotton for various domestic & industrial uses, packaging materials are also re-cycled
for different uses. The factory floor is free of any kind of liquid effluent.

MAINTENANCE OF DRAINS: Washroom wastewater drains has been constructed


properly.

LIGHTING OF INTERIOR OF FACTORY: The factory floor is lightened with tube


light sets. Factory floor, all exit & stair are equipped with proper emergence light
units. Production floor is equipped with sufficient nos. of industrial exhaust fans for
sufficient ventilation and cooling.

DRINKING WATER PROVISION: There is sufficient volume of fresh natural


drinking water in Hot or Cold water stands at convenient location of every floor.

TOILETS OR URINAL: There are sufficient separate toilets for male & female
workers. All the toilets are connected with water line for washing system to wash
down the pan or commode.

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HEALTH CARE AND MEDICINE: There is a qualified registered Doctor and two
nurses employed for full time to assist medical and nursing to factory workers. Apart
from that we have certified First-Aid team members who are always available in the
factory during working hours.

• Workers’ Compensation

– Worker’s compensation includes the compensation when an employee becomes


injured or disable due to extreme working conditions or while working at the job site.

• Family & Medical Leave

– Family leave includes the compensation continuation during the family leave such
as maternity or paternity leave and other family leave.

• Old age, Survivor, Disability Insurance requirements for getting compensation:


– Earn 40 quarters of credit, or
– Be employed for 10 years
– Be age 62 for partial benefits
– Be age 65 for full benefits
– Now the age has been extended to age 67 because more and more workers are
retiring late.
– Widow aged 60 +

Medicare

Depends on the country’s policy, medicare facilities are generally government


services to citizens.Organizations add some value to medicare facilities. In some
countries medicare is financed together by employees’ tax, employers and the
government.

Provided insurance coverage for


– Hospitalization - Covers inpatient & outpatient hospital care & services.
– Major doctor bills – Charges of visiting a doctor or specialist.

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– Prescription drug costs.
– Provides unlimited in-home care in certain situations.

Workers’ Compensation

• Workers’ compensation is a legally required benefit is included in the compulsory


disability laws of many countries. Mostly, employer is seen liable regardless of the
fault.

• Objectives of Workers’ compensation:


– Provide income & medical benefits
– Reduce litigation
– Eliminate legal fees & time
– Encourage employer safety
– Promote accident study & avoidance
• Workers’ compensation claims
– Injury
– Occupational disease
– Death

• Workers’ compensation benefits


– Medical services
– Disability income
– Death benefits

Discretionary Benefits

• Discretionary benefits are judgment based benefits that the organization provides to
its employees. These benefits are not legally required benefits but enhances
organizational culture and corporate image.

• Benefits include:
– Protection programs

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– Pay for time not worked
– Other services

Pay for time not worked

• Holidays

• Vacations

• Funeral leave

CHAPTER SIX

FINDINGS,CHAPTER SIX
RECOMMENDATIONS
AND CONCLUSION
DATA ANALYSIS

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CHAPTER 6
FINDINGS, RECOMMENDATIONS AND CONCLUSION

6.1 FINDINGS

Garments industry is a comparatively new in our country. Garments industry is


providing employment to a large number of skilled and unskilled people all over the
country. The Company contributed to the national exchequer in different forms like
Cooperate Income Tax, Advance Income Tax, Ecise, Vat, Import Duties, Taxes,
Government Taxes, Stamp Duties, and License Fees etc. Garments industry
contributed substantially to the Foreign Exchange Reserve of the country through its
export marketing operation.

There are several findings which I practically observe of all Garments industry as
follows:

1. For both in entry level and higher level recruitment job analysis is done to
ensure the viability and accuracy of recruitment and selection. For the higher
level position a more sincere job analysis is done to fix up the KSAs because
some positions are very much strategic for Garments regular affairs.
2. Most of the cases recruitment is done by in house human resources set up. But
for top most management position sometimes information are seek from
reliable agencies.
3. For the professional recruitment both the internal and external searching is
used, but it is much targeted, well defined KSAs are asked.

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4. For both entry level and senior position employee referral, advertisement and
online sources are used. But it varies position to position. Job fair also
arranged to get desired candidate.
5. For the selection of entry level management at first a MCQ examination is
conducted among the primarily selected candidates, then written test is held
and a viva for probable new hire.
6. Normally no discriminations occurred during the recruitment of new hire, but
in very few cases top level management request for any candidate in the final
selection stage. Stereo type image exist in the recruitment, selection and
promotion but it is in implicit form. Women get priority for certain job like
secretary, other than this women are equally evaluated.
7. Some Garments don’t follow or involved total aspects of Human resource
policies but few.

8. There are few Garments who have little corporate strategic plan.

9. Sometimes they do not take care of there principles of recruitment of new


employees.

10. In some cases they do not publish their recruitment advertisement in media,
web and in the notice board.

11. Some problems are faced by their organizations during recruiting process,
such as, external presser, internal presser.

12. We saw few practices in different countries that they are following such as
temporary help, overtime, internship, subcontracting, and job rotation.
However, in our country they do not follow some of the techniques.

13. They are not following steps that are used for selecting employees in this
organization- Initial screening, Interview, Background investigation &
reference cheek, Physical/medical examination, Hiring decision, Completion
of application form.

14. Some Garments are using internal recruitment rather than external recruitment.

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15. In recruitment process they do not involve the related questions regarding their
field rather than unrelated questions.

6.2 RECOMMENDATIONS

From the analysis with the organization structure we have seen that its span of super
vision is too large. A number of departments report directly to the general manager. If
the number were less the efficiency and productivity of the organization might be
increased. Quality control department should remain prompt always. So that it can
maintain a certain level of standard as per the market demand to capture the foreign
market share it should strive more.

On the basis of theoretical analysis and practical experience I may suggest the
following issues:

1. Recruitment source can be used by Garments in different ways such as,


Advertisement in the media, web, & in the notice board, Employment
agencies, Head hunters, Professional associations, Educational institutions
recommendation, Employee referrals, Walk-ins, CV’s computer Database.

2. Stereo type image will facilitate to have nepotism and other biasness in
recruitment and selection. It should be avoided.
3. There should be some way to compete woman more openly.
4. There are some gap and dissimilarity in recruitment and selection process of
entry level management of different Garments. We should introduce some
common technique for those for cooperative alliances.
5. Top most executive sometimes recruited by the members of BGMI, this
should be open enough to eradicate political biasness.

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6. Garments should follow Human resource policies such as Recruitment,
selection, induction, compensation and reward, training and development,
health and safety, promotion, performance appraisal and transfer.

7. Garments must have to chase more corporate strategic plan.

8. Principles of the recruitments of the Garments should be creative, responsive,


interaction, trustworthy.

9. For more responsible and capable personnel they have to avoid and face the
political presser as well as internal presser. For this reason higher authority
should give them the authentic power and should not be bias.

10. The Garments industry should use alternatives to recruiting process such as:
Temporary help, Overtime, Internship, Subcontracting, Job rotation.
11. They have to follow Initial screening, Interview, Background investigation &
reference cheek, Physical/medical examination, Hiring decision, Completion
of application form during recruiting process.

12. They have to take care of both internal and external recruitment rather than
depending of internal recruitments. In this way the can get fresh ideas as well
as energetic personnel.

13. They have to more careful about their questioner in recruitment process that
can make sure about the personnel they are taking for their organization.

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6.3 CONCLUSION

The flourishment of any industry requires combined efforts and co-operation from
several parties. Social, political and macro economic environment play pivotal role in
this regard. Though Garments industry is a newly Ventured Company in the
respective sector, its growth and expansion is praiseworthy. Its contributing the
country and serving the nation in different ways. If it can up hold its much toward
advancement, it will be able to set a role model in our country.

Human resource management (HRM) has long been overlooked in the corporate
sector in the country where a small section, comprising mostly the multi-national
companies was practicing the same. With the growing realization of proper HRM in
the corporate sector, it has grown into an important activity. Now the head of HRM is
an important member of the senior teams of any thriving business.

For all the Garments, there is a huge prospect to increase their efficiency level in this
sector but due to lack of emphasize, fund, strategy they still far away from actual
activities. Emphasizing on HRM also would strengthen by all the Garment’s position
in the market and it can also do important promotion for their activities.

Almost every Garment industry is involved in various functions in a day's job and
thus requires a highly effective team and appropriate manpower to run the show.
Corporate goals are translated into viable realities and profits only with human
element that play their due role in achieving the desired results.

Thus even the high automation would require proper man behind the machine to make
things happen. This idea has been realized by top managements in progressive
Garments.
For many years, HRM garments like other institutions have been handling this
sensitive activity through respective personnel departments. Recruitment was a
routine function and was done in a mechanical way to hire people with specific
educational background irrespective of their real value to the institution. HRM is quite
different from management of physical assets. Human brain has its own peculiar
chemistry.

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REFERENCES

BOOK:

1. Decenzo D.A and Robbins S.P (2005) Human Resource Managements,

Eight Edition, John Wiley and sons, inc. USA.

2. Stephen P. Robbins S.P (2003) Organizational Behavior,

10th Edition, Prentic – Hall, inc. USA.

3. P. Nick Blanchard, James W. Thacker S.P (2005) Effective training systems,


strategies, and practices
second edition,

WEBSITE:
o http://www.trendzgroup.com/
o http://www.bextex.net/index.php
o http://bangladeshexporter.com/garments.html#
o http://bangladeshexporter.com/garments.html
o www.google.com.sg/http://www.eb2000.org/ITSR6.htm
o www.google.com.sg/ www.accel-team.com/human_resources/hrm_08.html
o www.google.com.sg/http://www.docstoc.com/docs/8714937/Human-
Resource-Planning-Process

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