Professional Documents
Culture Documents
Submitted To
Dr. Nadia Newaz Rimi
Associate Professor
Department of Management
Faculty of Business Studies
University of Dhaka
Submitted By
Group: Maxim
SL No.
1.
2.
3.
4.
5.
Name
Md. Mizanur Rahman
Md. Mizanur Rahman
Shimul Sheikh
Emran Mollah
Mohammad Rasel
Program: MBA
Batch: 18; Section B
Roll
204
217
247
251
266
Table of Contents
No.
Description
Page No
1.
Introduction
2.
Literature Review
3.
4.
5.
19
Recommendation
20
Conclusion
20
Bibliography
21
6.
7.
8.
Appendix
No
1.
Description
Page No
Questionnaire
22
List of Figures
No
Description
Page No
1.
2.
11
3.
13
4.
14
5.
16
6.
18
1. Introduction
1.1 Preamble
Every organization or business is headed towards a future (vision) for which it focuses on its
purpose or current activities (mission). The business strategy is developed based on the vision and
mission (in line with why we exist and where we are headed). Thereafter, objectives are developed
which are measurable and quantifiable form of what are to be achieved. All these, vision, mission,
strategy, goals and objectives are set and carried out by human resources using other non-human
resources. Here, the importance of human resources emerges. Human Resource Management
(HRM) means planning and decision making regarding anticipating demand for and ascertaining
supply of human resources; organizing, leading, and controlling human resources. More
specifically, HRM involves acquiring (recruiting and hiring the best employees), developing
(training and development, learning, skills and competency development), motivating (offering
lucrative compensation package, creating a culture of employee involvement and learning,
excellent work environment); and finally retaining talented employees (offering lucrative
compensation package that is competitive in the market observing benchmarked companies). But
now-a-days, merely these activities are not enough; that is, to make it clear: only focusing on HRM
process or activities (ignoring the fact that HRM process and functions have no worth unless HRM
is aligned with strategic management and organizational or business strategy) is a myopia.
Therefore, HRM strategy has to be aligned with business strategy and for this purpose thereof,
Strategic HRM came into light. Strategic Human Resource Management (SHRM) is the practice
of attracting, developing, rewarding, and retaining employees for the benefit of both the employees
as individuals and the organization as a whole. Under SHRM philosophy, all departments works
interdependently rather than independently and this coordinated approach creates a sense of
employee involvement, participation, and development while at the same time conducting general
HRM process (rewarding and motivating and retention): the goal is to achieve organizational
objectives through happy and efficient workforce. Moreover, a committed, skilled and flexible
workforce is the key to sustained competitive advantage (Kramar et al., 1997). Hence, SHRM is
indispensable for organizational growth and stockholders value. This term paper is developed
focusing on the study of Strategic Human Resource Management (SHRM) and action in a
Bangladeshi organization: A study on Unilever Bangladesh Limited.
To study and analyze the Strategic Human Resource Management (SHRM) practices
of Unilever Bangladesh Limited.
b) Specific Objectives:
Primary Data:-
Secondary Data:-
More details were retrieved from the official website of Unilever Bangladesh and its last published
annual report.
b) Analysis:
As on the type of topic, there is little scope for quantitative analysis, so this paper is fleshed out
through quantitative analysis.
Although the overall response was good and the employees were nice to help, some
information was difficult to access due to confidential purpose.
Employees are always busy with their works; so they were in that time also. Therefore,
they could not cooperate us through fulfilling all of our queries and some of them
neglected to support us.
Our study only covers the SHRM practices of Dhaka Office; other regional offices are not
taken into consideration.
2. Literature Review
2.1 What is strategic HRM (SHRM)?
Strategic HRM is an approach that defines how the organizations goals will be achieved through
people by means of HR strategies and integrated HR policies and practices. Strategic HRM is
concerned with seeing the people of the organization as a strategic resource for the achievement
of competitive advantage (Hendry and Pettigrew, 1986). It is A set of processes and activities
jointly shared by human resources and line managers to solve people-related business problems
(Schuler and Walker, 1990). It is also called The macro-organizational approach to viewing the
role and function of HRM in the larger organization (Butler et al, 1991). It is also called the
pattern of planned human resource deployments and activities intended to enable an organization
to achieve its goals (Wright and McMahan, 1992). Strategic HRM focuses on actions that
differentiate the firm from its competitors (Purcell, 1999). Finally, it is the central premise of
laboratories are :- Vlaardingen in the Netherlands, Colworth and Port Sunlight in England;
Trumbull, Connecticut, and Englewood Cliffs, New Jersey in the United States; Bangalore in
India, etc. In Asia, Unilever is present in twenty countries including Australia, Bangladesh,
Cambodia, China, Hong Kong, Japan, Korea, Laos, Malaysia, Nepal, New Zealand, Pakistan,
Singapore, Sri Lanka, and Taiwan and enjoys the position of market leader in many Asia pacific
countries such as India, Philippines, Thailand, Indonesia, and Vietnam. Unilever has two parent
companies: Unilever NV in Rotterdam, Netherlands and Unilever PLC in London, England. Both
of these companies have the same directors and effectively operate as a single business. The
company is widely listed on the world's stock exchanges. For better control and management and
for reporting purposes the operations of Unilever around the world have been divided into different
regions.
Unilever owns more than 400 brands as a result of acquisitions; however, the company focuses on
what are called the "billion-dollar brands", 13 brands which each achieve annual sales in excess of
1 billion. Unilever's top 25 brands account for more than 70% of sales. The brands fall almost
entirely into two categories: Food and Beverages, and Home and Personal Care. To manage these
brands, Unilever employed more than 174,000 people and had worldwide revenue of 40.5 billion
as per figures available in 2008.
Unilever's major competitors include Procter & Gamble, Nestl, Kraft Foods, Mars Incorporated,
Reckitt Benckiser and Henkel.
Unilever Bangladesh Ltd. has local manufacturing facilities, and reporting to regional business
groups for innovation and business results. The reporting regions for Unilever Bangladesh (UBL)
are Asia AMET (Asia, Middle East and Turkey), and CEC (Central and Eastern Europe), with the
regional headquarter being in Singapore.
Being operated in Bangladesh since 1948, UBL had set up its production plant in 1964,
manufacturing Lux and Lifebuoy soaps. Back in December of 2004 Lever Brothers Bangladesh
Ltd changed its corporate identity to Unilever Bangladesh Limited in line with the parent
companys global identity. Previously, both the head offices and the factory were located in
Chittagong, but as of 2002 the corporate offices are located in Dhaka, whereas production
remained at Kalurghat Heavy Industrial Area in Chittagong.
Over the years it has consolidated its strength in the FMCG sector and it is now the leading
consumer products manufacturer in the country. Over the last four decades, Unilever Bangladesh
(UBL) has been constantly bringing new and world-class products for the Bangladeshi people,
leading the market in most of the categories it operates in. Today the company is an integral part
of the lives of the people of this country, with over 90% of the households using one or more of
UBL products.
Unilever Bangladesh Ltd.s portfolio of mega brands includes Wheel, Lux, Lifebuoy, Fair
&Lovely, Ponds', Close Up, Sunsilk, Dove, Axe, Rexona, Knorr and Lipton Taaza among others.
While many of its brands are big international names, the product mix are developed locally, based
on a deep understanding of local culture and markets, a strength shared across Unilever globally.
3.3 Mission
To add Vitality to life, to meet every day needs for nutrition, hygiene and personal care with
brands that help people feel good, look good and get more out of life.
The employment decision is surrounded with both internal and external recruitment.
recruitment process begins after conducting need assessment.
The
Promotion
Job Shifting
Organizational Issues
Administrative Issues
4.2.2.2
Employee referrals
Advertising
International recruitment
Recruiting
Rejected
Background investigation
Failed
Cognitive ability test
Unfitted for performing essential tasks for
jobs
Medical test
Inability to perform sample responsibilities
Work samples
Hiring decision
Need Assessment
Unilever Bangladesh HR ensures that the employee training needs are met properly. For example,
a fresh graduate who joins the organization as a territory officer is groomed properly before he
actually starts working in his assigned territory.
Unilever Bangladesh is concerned of the fact that a graduate who is fresh out of university do not
have sufficient skills such as sales negotiation, managing people etc. Therefore, training needs are
identified accordingly. For this purpose need assessment is conducted. Three elements are
involved:Organizational Analysis: Unilever Bangladeshs management trainee program precisely feeds the
needs of the organization. Training is linked with business strategy leading to high growth and
increased market share.
Person Analysis: Unilever Bangladesh analyzes the profile of each employees and tracks who are
to be trained.
Job and Task Analysis: Unilever Bangladesh makes sure the training provided to the employees
are relevant to the job description and specification, therefore, a Marketing Executive would not
be trained on areas such as accounting or engineering as it is irrelevant to his job description or
specification.
4.3.1.2
Instructional Design
Once the HR recruits the suitable candidates for training, Unilever Bangladesh sets training goals
and specifics accordingly. In the instructional design, the skill assessment is initially done and then
the learning plan is made. The business input and the individual input is thoroughly analyzed and
then the training plan is designed. Subsequently, the training calendar is designed along with
developing the training project. Job rotation is kept in place for employees every three years, for
which they go through training, which could be regional or international.
4.3.1.3
Validation
Emphasis on the business input and the individual input reflects Unilever Bangladeshs priority
towards validation before implementing a full-scale training program.
4.3.1.4
Implementation
For approval of any training program within Unilever Bangladesh, the top management must give
green-signal to the whole project. Afterwards, line-managers from each department are appointed
to conduct, supervise and assess the training program. It is the duty of the line manager to ensure
that certain rules and regulations are maintained throughout the whole program. The line-manager
on the other hand has to report to a manager who is centrally appointed for the whole program. As
a result, Unilever Bangladesh ensures support from management in the training process.
Need
Assessment
Validation
Implementation
Instructional
Design
4.3.1.5
Evaluation
Unilever Bangladesh makes sure that the line-managers are constantly evaluating the training
effectiveness during training as well as observing a thorough performance of the training after the
end of the program. Training progression of training programs within Unilever Bangladesh are
measured quarterly.
Written test
Interviews
Questionnaire
Performance Appraisal
Almost all modes of training conducted at Unilever Bangladesh fall under this category. This is
the most effective mode as employees are provided opportunity to learn new things while they are
actually on the job. The functional skills that are very important for the growth of an employee at
Unilever Bangladesh are usually taught through this mode of training. Territory officers who are
assigned in the remote places of the country are constantly being trained on sales by the on the
job training model.
4.3.2.2
Off the job training is less used in Unilever Bangladesh Limited. When training is conducted at
classrooms or other external venues, Unilever Bangladesh has association with other organizations
such as Accenture, who assists in providing off the job training to the employees. The top level
executives are often sent abroad for off the job training needed for higher level management.
Classroom training
Sending top level executives and
managers to abroad for receiving
off the job training.
Coaching or mentoring
by line managers
4.3.3.1
Coaching or Mentoring
Coaching and mentoring is the second most training mode used at Unilever Bangladesh.
Employees are constantly coached and mentored by the line-managers in honing their general,
leadership and functional skills.
20%
On the Job Training
10%
70%
program; roughly the following process is usually followed by the Unilever HRD and talent
specialists. Unilever talent management process creates a comprehensive profile of their talents
which help organization in succession planning.
4.4.1.1
Attracting talent:
Proper training
4.4.1.2
Keeping talent:
Create social bond with employees through adventure, sports, party, contest, etc
4.4.1.3
Managing talent:
4.4.1.4
Identifying talent:
Test based
Scorecard entries
Attracting Talent
Keeping Talent
Managing Talent
Identifying Talent
Unilever Bangladesh develops leaders as it believes the philosophy leaders are made, they
are not born. It conducts various leadership programs to build leaders tank. It not only
develops leader but also train its employees and managers for performing jobs and tasks.
In Unilever, Human Resource functions are not seen as merely the HR department
functions; rather HR relates to partnering with functional departments inside the
organization, partnering with experts worldwide, partnering with customers both local and
that of overseas.
Unilever allows employees to set their own goals, allows participating indecision making
process. The company shows the message that as the employees are the ones who closely
involve with customers, they know how to set their own goals and how to perform and
what decisions to be made to achieve those goals.
6. Recommendation
In determining HR demand and ascertaining HR supply, the company uses qualitative techniques
(Markov Model). Here, it is clear that, Unilever Bangladesh doesnt follow quantitative techniques
in HR demand and supply forecasting. Quantitative techniques would increase the accuracy and
reliability and precision of the process.
7. Conclusion
From the following study, it can be concluded that, the overall SHRM practice of Unilever
Bangladesh is worth to be mentioned. It conducts systematic and planned process to select, recruit
employees; undertakes numerous learning and development programs to grow them; offers
lucrative compensation packages to attract the best talent of the market; supports engagement and
participation and provides motivation to retain them. Finally, it creates a talent management culture
in which talents are develop that cant be copied or transferred. Still there is an issue to be taken
into consideration that is quantitative techniques should be used to precisely and accurately
forecasting HR demand and supply.
8. Bibliography
Armstrong. M. (2008) Strategic Human Resource Management: A Guide to Action. Ed. 4th. Kogan
Page.
Belcourt. M., McBey. K., and Margaret Y. H. Y. (2015) Strategic Human Resource Planning. Ed.
5th. Cengage Learning.
Business
Case
Studies.
(2016)
Recruitment
and
selection.
Retrieved
from
businesscasestudies.co.uk/business-theory/people/recruitment-and-selection.html. Accessed on
07.09.2016
Butler, J. E., Ferris, G. R., and Napier, N. K. (1991) Strategy and Human Resource Management.
Cincinati, OH: Southwestern Publishing Company.
R. Kramar, P. McGraw and R. Schuler (1997): Human resource management in Australia, Ed. 3rd.
Melbourne: Longman.
Schuler, R.S. & Walker, J.W. 1990. Human resources strategy: Focusing on issues and actions.
Organizational Dynamics, 19 (1): 4-20.
https://www.unilever.com.bd/
Wright, P. M., & McMahan, G. C. (1992). Theoretical perspectives for strategic human resource
management. Journal of Management, 18(2), 295
Appendix
A Questionnaire on Strategic HRM Practices in Unilever Bangladesh Limited
1.
2. The rewards received are directly related to the performance and contribution at work
Strongly Disagree
Disagree
Neutral
Agree
Strongly Agree
Strongly Agree
5. Leaves
_________________________________
6. HRM Perspective
Universalistic (universal common best practices)
Contingency (HR practices often changes in relation to organizational strategy)
Configurational (both universalistic and contingency, that is bundles of HR practices)
Others
Yes
No
17. Information about job vacancies is easily available within the organization
Strongly Disagree
Disagree
Neutral
Agree
Strongly Agree
The End