Final Assignment

Human Resource Management

“HR Analysis Report”

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 Table of Contents
Page No
1) Dedication………………………………………………………………………… 01

2) Acknowledgement…………………………………………………………… 02

3) Executive Summary………………………………………………………… 03

4) Company Introduction ………………………………………………… 04

5) Vision………………………………………………………………………………… 05

6) Mission ……………………………………………………………………………… 06

7) Core values ………………………………………………………………………. 06

8) Goals …………………………………………………………………………………. 07

9) HR Mission ………………………………………………………………………. 07

10) HR Values ………………………………………………………………………… 07

11) Organization Hierarchy Chart……………………………………….. 08

12) Regional Management Chart ………………………………………… 08

13) Structure of HRM Department…………………………………… 09

14) HRM Process in the organization………………………………… 09

15) HRM Activities………………………………………………………………… 09

16) HR Planning & Forecasting…………………………………………….. 10

17) Employee Recruitment and Selection……………………………. 11

18) Training and Development……………………………………………… 12

19) Performance Management……………………………………………… 14

20) Performance Evaluation………………………………………………….. 14

21) Communication Health and Safty…………………………………. 15

22) Labour Management Relation………………………………………….. 15

23) Challenges faced by HR Manager………………………………….. 16

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24) Employees Job Requirement……………………………………………. 17

25) Career opportunity in NBP………………………………………………. 18

26) Recommendations ………………………………………………………………. 19

27) Conclusion …………………………………………………………………………… 19

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 DEDICATIONS

To hands,
Shivering and uplifted
Eyes heavy and thoughtful
Of my parents;
Hands ever praying for me
Eyes with dreams in of my bright tomorrow
These hands may never fall down.
These eyes may never go to asleep.

This project is dedicated to our most respectful and

honorable
Professor _________ who always motivate us towards
Positive thinking and towards success.

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 ACKNOWLEDGMENTS

We are grateful to ALLAH Almighty Who Blessed us

with hearing and along the mind to make work as they

should, who has given us boundless affection and depth

of feelings and who has blessed us with the courage for

fulfilling the arduous writing of this project.

We are extending our hearty thanks and gratitude to

_________________ for his guidance and corporation, who

very generously benefited us from his rich and precious

repertory of knowledge.

We are also thankful to our parents who gave us moral

support and encouragement.

“God help those who help themselves”

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Executive Summary

National Bank of Pakistan has an existing Human Resource development

department, which operates to increase the existing skills of the people

existing or coming in the organization, in order to achieve its objectives in a

more efficient and effective manner. NBP has devoid two basic training

techniques. First is related to the training and development of mid term plan,

regarding new clients & middle level employees. Secondly, the training &

development for long term plan, regarding the career development of higher

level employees. BP applies on-job and off-job strategies to train its

employees (middle & higher level).NBP training & development academy

advises Job rotation to ensure & facilitate the producing of all rounder. The

source of this assignment confirms the availability of the training plan at

least 2 months before the commencement of New Year, in order to make it

easy for the socializing and orientation of the new employees. NBP believes

in pre-post training test for existing employees & post training test for new

employees. The trainees will be required to submit back-home action plan,

which will be followed up by the JNMDC/Staff colleges. These plans will help

in evaluation and end use of training.

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Company Introduction:
It gives me great pleasure to exchange a few words about the bank’s
performance. NBP continued its journey of success based on our strategy of serving clients
better…. a company agile enough to take advantage of its unique domestic and international
footprint, capitalizing on the largest balance sheet and customer base in Pakistan with high cross
sell potential. Our standalone AAA rating (the highest in the industry), our ROE, which is
amongst the highest in the Asian Banking industry, and our comfortable capital adequacy ratios,
position us well in front of our competitors for future growth.

Year 2007 was an outstanding year with the bank recording the
highest profit in its history. Our wide range of product offering,
large branch network and committed workforce are some of our
fundamental strengths that enabled us to achieve exceptional
results in a very competitive market.The pre-tax profit increased
to Rs. 28.06 billion, an increase of 6.6% over last year. Earning
per share jumped by over 11.6% from Rs. 20.88 in 2006 to Rs.
23.34 in 2007. Pre- tax return on equity stood at 45.9%, whereas
pre-tax return on assets stands at 4.1% and cost to income ratio of
0.30 remained one of the highest in the sector. These results were
possible despite the fact that NBP had to make additional
provision of over Rs.3 billion as a result of withdrawal of Forced
Sales Value (FSV).This year NBP also availed the offer by
Government of Pakistan to redeem up to 10% of its holding in
NIT units held by the bank under Letter of Comfort (LoC)
arrangement, this sell off resulted in a Capital gain of Rs. 1.8
billion. Increase in pre-tax profit was achieved through strong
growth in core banking income. Net Interest income increased by
Rs. 3.5 billion (11.5%) due to better yields and volume driven
growth spurred by increase in consumer loan portfolio. Dividend income and Capital Gains also
made a healthy contribution as it increased by Rs. 371 million and Rs. 1,145 million over 2006
respectively mainly owing to higher dividends from NIT Units as well as Capital gains recorded
on sell of 10% NIT Units. Advances increased by Rs. 25 billion due to impressive contribution
by all business units. Deposits increased by a healthy Rs. 90 billion or 18% over last year. The
bank's NPL provision coverage ratio also stands at an impressive 84%.

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Vision

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 ”To be recognized as a leader and a brand synonymous with trust, highest
standards of service quality, international best practices and social
responsibility”

Mission

“NBP will aspire to the values that make NBP truly the Nation’s
Bank, by:
• Institutionalizing a merit and performance culture
• Creating a distinctive brand identity by providing the highest standards of
services
• Adopting the best international management practices
• Maximizing stakeholders value
• Discharging our responsibility as a good corporate citizen of Pakistan and
in countries where we operate”

Core Values

• Highest standards of Integrity

• Institutionalizing team work and performance culture
• Excellence in service
• Advancement of skills for tomorrow’s challenges
• Awareness of social and community responsibility
• Value creation for all stakeholders

Goals

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“To enhance profitability and maximization of NBP share through increasing
leverage of existing customer base and diversified range of products”

HR mission

“Provide more talented Human Resource in all NBP functional areas in

relation to competition keep motivated all the employees and maintain total
industrial harmony”

HR Values

We believe that;

• People make the organization

• People collectively yield results
• People have ambitions and aspirations to be distinguished and
rewarded
• People form the human capital to be developed and invested in.

Organization Hierarchy Chart

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 President

Board of
Directors
Member Executive
Board
Regional
Chief
Zonal Chief

Manager

Regional Management Team

Regional Management
Team
Regional Business Chief

Regional Operational Chief

Regional Risk Management

Chief
Regional Compliance Chief

Regional HR Chief

Structure of HRM Department

HRM Process in the Organization:

Vice
President 14 | P a g e
Manager Total Manager Manager Labour
Compensation HR
people an OD Relations
National bank of Pakistan has existing human resource department,
which operates to:

 Increase the skills of the existing employees

 New recruitment and hiring in the organization

HRM system consist of following activities:

 Recruitment & Selection

 Training & development

 Compensation & benefits

HR Planning and Forecasting:

 Determine the organizational goals

 Scan the organizational environment

 Set strategic goals

 Formulate the strategic plan

 Course of action is designed

Steps of planning process in NBP

 Determine the objectives

 Define required skills to meet the objectives

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  Determined additional human resource requirement

 Develop action to meet the anticipated human resource needs

Forecasting:

 Zero Barrier Forecasting

 Bottom-Up Approach

 Use of Mathematical Model

 Simulation

HR

Plannin
g

Induction Recruitment Selection

Plan Plan Process

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Induction Plan

 Agriculture field officers (AFO`s)

 Customer facilitation officers (CFO`s)

 Management trainee officers (MTO`s)

 Cash officers (co`s)

 Relationship Managers (RM)

(Competitive examination through SBP/Ibp)

Employee’s Recuitment & Selection

CV Screening and Written Entry

Short Listing Test 17 | P a g e

Final Panel/ Group Selection and Initial HRM

Interviews offer interviews
 Recruitment Plan

 Direct from quota system

 Indirectly by bank management

Selection process

Selection

Process

Talent Hunt Employee’s Daily wages

Scheme Son Staff
Induction

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Training and development
 NBP has development group called “ organizational development and
training group “

 Four staff colleges are operating under this group in Lahore, Karachi,
Islamabad and Peshawar

 The training is mostly carried through seminars , work shops and

mostly on the job training

 At the time of the introduction of the employee he is given the initial

training in Institute of Bankers of Pakistan (IBP). After that they are
posted to their respective jobs.

• National Bank of Pakistan follows two forms of

trainings

 First is related to the training and development of new and mid

level employees

 Second is the training for long terms plans, regarding the career
development of higher level employees

• NBP applies on-job and off-job strategies to train its employees

• NBP training and development academy advices job rotation to ensure

and facilitate the production of all- rounder employees.

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 • Training program started at least two month before the
commencement of the New Year, in order to make it easy for the
socializing and orientation of the new employees.

• NBP believe in pre/posttests for the existing employees and post

training test for the new employees.

Training &
Development

Course Design Training Need Skill Gaps

for Inductees Analysis Analysis

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  Training Calender

 Training cataloge

 Tarinning course module / shedule

 Outcomming (Need Based)

 Feed back analysis

 Quiz competitions

 Short, Medium, Long terms workshops, seminars, courses

 Data Reportings

Performance Management

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In performance management factor there are certain aspects about
which Nation Bank takes special care, these are:

 Professional Knowledge

 Improving corporate culture

 Decision making ability

 Ability to visualize and plan

 Ability to act in emergent situation

 Ability to implement decisions

 Ability to guide and create team work

 Communication skills

 Customer relationship

 Acquaintance with technological improvement

Performance Evaluation:

 An employee do not has any right and access to the Annual

Confidential Report (ACR). But he or she informed, so that he or
she can rectify/improve his or her shortcoming if any

 After ACR paper work, it is enter into data base by HR

 On the basis of the evaluation, benefits are offered in term of

promotion, reward etc.

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Communication

Intructions

Circulars Information

Modes
Surprise visits President Direction

Means Colleges

Meeting

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Health and Safety

A different type of compensations includes:

 Medical Insurance

 Sick Leave

 Vacations

 Provident and Pension Funds

 Promotions

 Overtime pay

 Profit sharing

 Travel/Meal/ Housing Allowances

 House and car loans

 Yearly 3 bonuses

 Performance award in cash

Labour Management Relations:

The society of labor is formed within NBP, which functions with the help of
management, so form a good relation and provides:

 Immediate relief to any accidental causality

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 Some benefits to on job decreased

 Arranges variety shows for the families of the employees

 Arrange educational funds or benefits for the employees

Unionism

Welfare

IRO
Discipline

HR policy Planning

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 SWOT Analysis of NBP
STRENGTH:

 Nationalized Bank
 Largest Branch Network
 Strongest Capital Structure
 Monopolistic Hold
 Public Confidence
 Experience of Operation
 Easy access to the customers

Weakness:

 Poor performance of the workers

 Untrained staff and week customer handling
 Favoritism and Nepotism
 Lack of coordination
 Unpleasant working environment
 Traditional Approach
 Lack of IT infrastructure & less No of Online Branches
 Burden of running extra number of branches

Opportunities:

 Electronic Banking
 Leasing Business
 Network in foreign Countries
 Gain Economies of Scale

Threats:

 Globalization
 Increase in competition
 Privatization
 Political instability in the country
 Lack of inconsistency in Government’s policies

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Challenges faced by HR Manager

 Working with people of different cultures

 Managing workforce diversity

 Helping employees balanced work life conflict

 Up gradation of employees according to the environment

 Cost cutting

Employee’s job Requirement

Management Trainees for General Banking, Corporate &

Investment Banking, Credit, Risk Management, Compliance,
Commercial & Retail Banking and Treasury Management

MBA or equivalent degree (Finance/General Management/Marketing

Banking).

Management Trainees for HR

MBA/MPA or equivalent degree in Human Resource Management.

GPA Requirements:- Minimum GPA.3.0 out of 4 or 3.7 out of 5.0 where

GPA system is applicable, where GPA system is not in practice candidates
must have secured a minimum of 70% aggregate marks in the examination.
Only those who have already received final results are eligible to apply
(Executive MBAs are ineligible).

Age Limit:- Maximum age limit 26 years as on 31.07.2009.

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Compensation:- Management Trainees will be appointed as Officer Grade-Il
in regular cadre and will receive a gross compensation of around Rs.30,000I-
per month plus bonuses, liberal perks and end service benefits.

Training & Development:- They will receive comprehensive training in

banking and management to groom them as professional bankers.

Career Growth:- Management Trainees on completion of three years will be

promoted as Officer Grade-I and in next three years as Assistant Vice
President on the basis of their performance.

Selection Process:- Candidate will be required to appear for written test on

the pattern of GMAT/GRE. Successful applicants will participate in group
discussion and final interview.

Career opportunity in NBP

NBP maintains its position as Pakistan's Premier Bank with a
network of over 1200 branches locally, 18 overseas branches, 1 Subsidiary
at Almaty (Kazakhstan) and 11 Representative Offices all over the world

NBP also have a Joint Venture with UBL at U.K., with the name of
Pakistan International Bank (UK) Ltd., with seven branches at Main Branch,
London, Manchester Branch, Glasgow Branch, Bradford Branch, Sheffield
Branch, Birmingham Branch and Knightsbridge Branch (London).

The Bank has employed more than 15,000 people world wide.
The various departments include:

Consumer Banking – Corporate Finance – Investment Banking –

Agricultural Banking – Transactional Banking – Operations – Software
Development and Automation – Financial Control – Treasury – Internal Audit –

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Risk Management & Credit – Economic & Business research – Training &
Development – Strategic Planning – Human Resources

NBP offers unlimited opportunities to its employees for continuous

personal and professional growth:

1) Change Management Program: NBP has started an ambitious Change

Management Program to further train its employees to meet the
challenges of present day requirements.

2) Training of new staff: Training and development are the core issues of
HR, which will ultimately improve our customer service and help us
attain the standard of a progressive bank.

3) Benefits: Besides a competitive financial package, we offer excellent

working conditions, job satisfaction, superior leadership, and a
conductive environment for growth.

Recommendation
 Employees should be involved in decisions affecting them

 Promotion and reward system should be fair

 Introducing new and efficient products

 Total quality approch should be used

 Trainning should be according to assessed needs

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  Creation of enhaced performance appraisal system

 Job rotation and job enrichment for emplyees

 Improve communication skills

 Agreessive marketing strategyin banking

 Intitutionalization of HRM

 Research and development facilities must be improved

 New Talent/ professionals should be hired

 Public relation desk should be established in each and every

branch

Conclusion:

NBP is the employer of choice. The whole NBP family comprises

of committed and dedicated members with passion to serve in their
respective functional areas. The Bank has challenging work environment
where merit and performance help the individuals to explore their true
potential. As a caring employer the Bank enables the employees to excel and
grow in highly congenial employment conditions and culture. The career path
is full of challenges and opportunities. The Bank has absolutely open culture
where members share and communicate freely.

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