performance presentation

8/4/2019 Performance Presentation

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Employee performance appraisal systemof

Islami Bank Bangladesh Limited (IBBL)


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Bijit Kumar Saha 10113201098

Mahadee Asif Iqbal 10113201543

Md Abi Abdullah 10113201514

Tanzila tania 10113201524

Sora Nicky Mree 10113201539Fatema-Tuz-Zuhra 10113201547


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Background of the Report

Now a days, education is not just limitedto books and classrooms. In todays world,

education is the tool to understand thereal world and apply knowledge for thebetterment of the society as well as forbusiness. The theoretical knowledge is

acquired from academic arena, which isonly the half way of the subject matter.Practical knowledge has no alternative.


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Internship Program brings a studentcloser to the real life situation and

thereby helps to launch a career withsome prior experience. The Banking areais a fast growing and a vital sector for the

economic development of Bangladesh.That is why I did internee program atIslami Bank of Bangladesh Limited

Background of the Report

(cont..)


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Objectives of the report

Board Objective:

The broad objective of this report is to analyze theEmployee performance appraisal systemA Case

Study on Islami Bank of Bangladesh Limited. Specific Objectives:

To gather a practical knowledge about theEmployee performance appraisal system followed

by Islami Bank Bangladesh Limited.

To know how they evaluate their employeeperformance.


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To observed the employees satisfaction byevaluating employee performance.

To know employees opinion about performance

appraisal system.To suggest the ways and means for

improvement performance appraisal system.

To recommend actions that is necessary toredesign the performance appraisal of IBBL

Objectives of the report (Cont.)


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Methodology Research Design:

This is a exploratory research.

Sources of Data:

Primary data Secondary data

Data Collection Procedures

Primary Data Collection:

1. Practical deskwork2. Direct observation of daily activities

3. Formal face-to-face conversation with employees

4. Questionnaire


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Methodology

(Cont..) Sampling plan: Population: A group of individuals or items that share one or

more characteristics from which data can be gathered andanalyzed is called population. Here the population is the total

employees of the organization.

Sample unit: The sample unit of the survey was bothemployee & employers of the bank.

Sampling procedure: Non-probability convenience samplingprocedure is used in the survey.

Sample size: The sample size was 20 employees & 1 authority


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Limitations of the Study It is too much difficult to comment and

suggest about HRM practice based on only

the annual report.

Unwillingness to provide data because of

confidentiality.

Time consuming.


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Corporate Information of IBBL(As on 31st December,2009)

Date of Incorporation 13th March, 1983

Inauguration of 1st

Branch

30th March, 1983

Formal Inauguration 12th August, 1983

Authorized Capital Tk. 10,000.00 million

Paid up capital Tk. 7,413.00 millionDeposits Tk. 2,65,193.00 million

Investments Tk. 2,55,178.00 million

Foreign Ex. Business Tk. 2,77,739.00 million


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Corporate Information of IBBL

(Cont.)Number of Branches 212

SME service Centers 20

Zones 11

Number of Shareholder 52164

Manpower 9588

Local Shareholder 41.77%

Foreign Shareholder 58.23%


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Performance Evaluation:

To evaluate performance of an employee IslamiBank of Bangladesh Limited arranges aperformance evaluation program. Islami Bank usesRating scale for evaluating employee performance.

4.1.1 Annual Confidential report:A system of annual reporting on the work and

conduct of the employees shall be laid down bythe Managing Director and such report shall be

called the Annual confidential Report. The Bankmay also call for special confidential reports of anyemployee as and when necessary.


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4.1.3. Rating Scale

Islami Bank of Bangladesh Limited follows thefollowing rating scale-

Outstanding (40-45 points) Superior actions andresults that consistently deliver very high qualityperformance, far exceeding expectation.

Excellent (30-39 points) High quality performancewhere actions & results exceed expectation.

Good (20-29 points) satisfactory performance thateffectively meet expectation.

Average (Below 20) Actions and results thatmarginally meet the requirement of the job.


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4.1.4 Calculation of 100marks:

S/N Particulars Total Marks

1 ACR 35

2 Business Performance 15

3 Length of service in the grade 10

4 Academic Qualification 10

5 Institute of Bankers Examination Part-

= 4 Marks & Part- = 3 Marks

10

6 Training 12

7 Management Impression 8

Total 100


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4.2. Questionnaire Analysis:To collect information by

survey, personally I have interviewed both employees &employers in shape of depth interview.

4.2.1.Employees

Working experience of the employees:

S

L

N

o.

Work Experience

No. of

Respond

ents

1. Below 2 years 52. 24 years 10

3. 46 years 6

4. Above 6 years 9


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Table 2: Which method will you prefer for appraising theperformance?

Methods Number of employee Percentage(%)

1. Ranking method 4 20%

2.MBO 8 40%

3.Paried comparisonmethod

0 0%

4.Grading system 3 15%

5. Rating system 4 20%

6.360 Degree 3 15%

7.Checklist 0 0%

Total 20 100%


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0

5

10

15

20

1

.Ranking

2.

3.

Paired

4

.G

rading

5.

Rating

6.

Forced

Total

Number of employee

P ercentage (% )

Comments: In terms of methods of performance appraisal

used, it is observed that the employee prefer , MBO

40%,Graiding system 15%,Rating system 20%.These

findings also justify MBO method is more usable. This

bank follow rating scale method for evaluating

performance appraisal


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Q: Why do you prefer Management by objective forperformance evaluation?

Ans: MBO is a systematic method. To focus on achievablegoal, to attain the best possible result from availableresources. BO includes ongoing tracking & feedback in theprocess to reach objective.

Q: Why do you not prefer others for performanceevaluation?

Ans: In other methods there are possible to chance ofbiasness at the time appraising performance ofemployees. Sometime it creates injustice with employee.In other performance appraisal system except MBO, alsochance of favoritism, nepotism.


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Table 4: How often do you prefer to evaluate

performance of employees in a year?

Number of

Employee

Percentage (%)

Bi-

annually

9 45%

Annually 5 25%

Monthly 3 15%

Quarterly 3 15%

Total 20 100%

Comments: As regard of this table the bank want to evaluate

performance appraisal Bi annually 45%, annually 25%,

Monthly 15%, Quarterly 15%.


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4.2.2 Managerial level

Q.1 : Purpose of Performance Appraisal

Ans: 1.To know about the post training performance.2. To identify the reason behind the performance.3. To know about the training needs of the employee.4. To identify the performance who will be entitled for

reward and incentives.5. To identify employee promotion.

Q.2.Which method do you follow to evaluateemployee performance appraisal?

Ans: Rating scale


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Q.3. Why do you evaluate the performance through ratingscale?

Rating scale method is easy to use, understand easily,comparing easily. In this bank all of employee know &understand about this method, in this method we evaluateeasily employees performance

Q.4.Why you do not follow other system? Justify all other appraisal system we chose this method. Other

appraisal system is not easy, time consuming, more complex.

Q 5: Who conduct the performance appraisal? Immediate, supervisors, rating.

Q 6: How often do you arrange evaluate performance foryour employee in a year?

Annually


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4.3 Rating scale: The rating scale method offers ahigh degree of structure for appraisals. Each employee

trait or characteristic is rated on a bipolar scale thatusually has several points ranging from "poor" to"excellent" (or some similar arrangement).

Advantages

1. The greatest advantage of rating scales is that they arestructured and standardized.

2. Ratings scale allows to be easily compared andcontrasted - even for entire workforces.

3. This encourages equality in treatment for all appraiseesand imposes standard measures of performance acrossall parts of the organization.

4. Rating scale methods are easy to use and understand.


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Disadvantages1. This is an assumption very difficult to prove in practice. It

is possible that an employee's performance may dependon factors that have not been included in the selectedtraits.

2. This includes various well-known problems of selectiveperception (such as the horns and halos effect) as well asproblems of perceived meaning. Selective perception isthe human tendency to make private and highlysubjective assessments of what a person is "really like",and then seek evidence to support that view (whileignoring or downplaying evidence that might contradictit).


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4.4 Compare this method with otherperformance appraisal methods

PA method Advantages Disadvantages

The360 degree feedback

evaluation

1.More comprehensive

2.Increases the credibility of the

appraisal result

3.Enhance

the staffs self development

1.Time consuming & more complex on

administration

2.Risk of confidentiality

Critical Incident 1. Cover the entire evaluation

period & not only focus on the

last few weeks.

1.Just write down ,Some incident Which

affects the

Departments Effectiveness Significantly

,may

Be just an accident.

Essay method 1.Most simple & accepted approach 1. Depend heavily on the ratters writing

ability.

2.Compare easy evaluation might be difficult

since no common criteria exist

MBO 1. Staff will try best to achieve the

organization goal.

2.It provide a measure of

achievement against

predetermined objective

1.Less helpful in employee development


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Findings

They use rating scale method for Performanceevaluation.

They use rating scale that this method is structuredand standardized.

They evaluate performance appraisal annually.Most of the employees prefer MBO for evaluating

performance of the employee.

Employees prefer MBO because it increase

organizational performance by aligning goals &subordinate objectives throughout the organization

Most of the employees are not happy with the presentsystem of the appraisal method that is rating scale.


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Findings (Cont.)

MBO is better than rating scale, by MBOincludes ongoing tracking and feedback in theprocess to reach objectives.

The organization is following evaluation process

hardly.They provide training facility for their employees

to improve their skills and efficiency. In the Bank they have limited career

development program for their employees. Their performance evaluation method is not up

to the standard.


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Conclusion

The Islami Bank Bangladesh Limited isone of famous bank in Bangladesh. Thisorganization is much more structuredcompare to any other banks operatingin Bangladesh. The IBBL aims to be thefirst among the banking sector within

the next 3 years and how it isperforming, it shows that the day is notso far when it will reach to itsobjectives.


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Employee performance appraisal of this

bank ensures the reliability,completeness, effectiveness andresponsiveness of The IBBL to its

employees. It also ensures that allpersonnel in each department, divisionsare complying with applicable laws andregulation. All these activities of the

Employee performance Systemcontinuously help the bank to achieveits goals and objectives in time.


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RecommendationRating scale is a back dated performance

appraisal method; they can use MBO method.

MBO is better than rating scale, by MBO

includes ongoing tracking and feedback in theprocess to reach objectives.

Monitor employee performance appraisalsystem on regular basis.

They should be arranging evaluation programBiannually.

They should give reward to employee forbetter performance.


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