Company Overview

Grameen phone Limited is the largest telecommunications service provider in Bangladesh. Grameen
phone is the first company to introduce GSM technology in Bangladesh when it launched its services in
March 1997. With a nationwide network that covers almost 100 percent of the population, Grameen
phone exists with more than 40 million subscribers. Grameen phone’s entire network is EDGE/GPRS
enabled and so all our subscribers have access to the internet. Grameen phone has introduced many
services like Community Information Center, Health line and Study line to reduce the digital divide in
Bangladesh. Grameen phone is a public limited company listed with the Dhaka Stock Exchange Limited
and Chittagong Stock Exchange Limited.

Grameen Phone started its journey with the Village Phone program: a pioneering initiative to empower
rural women of Bangladesh. The name Grameen phone translates to rural phone. Grameen phone,
widely known as GP, is the leading telecommunications service provider in Bangladesh. With more than
37.7 million subscribers (as of April 2012), Grameen phone is the largest cellular operator in the country.
It is a joint venture enterprise between Telenor and Grameen Telecom Corporation, a non-profit sister
concern of the internationally acclaimed microfinance organization and community development bank
Grameen Bank. Telenor, the largest telecommunications company in Norway, owns 55.8% shares of
Grameen phone.

Grameen Telecom owns 34.2% and the remaining 10% is publicly held. It also established the first 24-
hour Call Center to support its subscribers. With the slogan “Stay Close”
Stated goal of Grameen phone is to provide affordable telephony to the entire population of Bangladesh.
Grameen phone received a license for cellular phone operation in Bangladesh from the Ministry of Posts
and Telecommunications on November 28, 1996. Grameen phone started operations on March 26, 1997
the Independence Day in Bangladesh.

Executive Summary
Grameen phone Ltd. is the leading telecommunications operator in Bangladesh which is a part of Telenor
Group, Norway. It’s the first GSM service provider in Bangladesh who started journey with the Village
Phone program. It was a joint venture with Grameen Telecom Corporation.

Grameen phone started their operation at March 26, 1997. Now they have over 50 million subscribers as
of January, 2015. They recognized for building a quality network with the widest coverage across the
country while offering innovative products and services and committed after-sales service. Grameen
phone’s basic strategy is coverage of both rural and urban areas.

They have a mission to lead the industry and exceed customer expectations by providing the best
wireless services, making life and business easier. Their vision is to help their customers get the full
benefit of communications services in daily lives. Tagline of the company is, “Go Beyond”.

In Grameen phone CSR (Corporate Social Responsibility) is a complementary combination of responsible

business practices. Every year the sponsor a huge amount of money in Health, Education and
Environment sector. Some of their popular initiatives are Online School, Scholarship, Click Green,
Ensuring Safe Drinking Water etc.

Grameen phone has generated direct and indirect employment for a large number of people over the
years. The company presently has about 4400 full and temporary employees. 500,000 people are directly
dependent on Grameen phone for their livelihood, working for the Grameen phone dealers, retailers,
scratch card outlets, suppliers, vendors, contractors and others.

The report includes the theoretical framework of various concepts of Human Resource Management and
also contains the practices of Human Resource management in Grameen phone Ltd. for the purpose of
relating the theoretical concepts with the relevant areas of an established organization.
Work design/ classification:
Being a private limited company, the Board of Directors of Grameen Phone has a pivotal role to play in
meeting all stakeholders’ interests. The Board of Directors and the Management Team of Grameen
Phone are committed to maintaining effective Corporate Governance through a culture of accountability,
transparency, well-understood policies and procedures. The Board of Directors and the Management
Team also persevere to maintain compliance of all laws of Bangladesh and all internally documented
regulations, policies and procedures. Grameen Phone places a high value on human resource
development and the contributions made by its employees. They persevere to maintain a productive and
harmonious working environment in the whole organization.

 The divisions are:

1) Finance Division

2) Deputy Managing Director Division

3) Regulatory & Corporate Affairs Division

4) Human Resources Division

5) Chief Marketing Officer Division

6) Internal Audit Division

7) Technical Division

8) Information Technology Division

9) New Business Division

The Directors and the AGM have to report directly to the Managing Director. The heads of the other four
departments directly report to the Managing Director too.

 Finance Division:
Finance Division is broken down into departments such as finance department, company affairs, payroll
and taxation department, accounting and reporting department and revenue accounting department.

 Regulatory & Corporate Affairs Division:

Corporate affairs of GP encourages developing leadership quality, maintaining congenial and healthy
working environment, keeping harmony instead of discords and ensuring full decentralization in the
organization. Different functions of this department are transportation management, arrangement of
meetings, seminars, cultural programs etc.

 Human Resource Division:

Human resource department plays a very important role in the functioning of the organization. The main
tasks of this department are employee recruitment, selection, transfer, promotion, training, performance
appraisal, work force planning etc.

 Chief Marketing Officer Division (CMO):

CMO is the bridge between the customers and the company. People here are always serving the clients.
This division can subdivide into three major parts-call center, billing department and trainee development
department. Commercial division has the opportunity to have direct interface with the customers. This
division subdivides into part-sales department and market communication department.

 Technical Division:
The Technical Division can consider as the brain of the organization. This division has the highest
number of employees. This division split into three parts-planning department, implementation
department and operations department.

 Information Technology Division:

Information technology department support for IT equipment of the employees and provides constant
service to employees if any IT problem occurs. Therefore, this department is responsible for connecting
all desktops and portables, keeping data security, managing electronic mails, handling and mail and
Internet related issues and problems, connecting the GP officials among themselves and with the outside
world through PABX System etc.

 The Board of Directors:

According to the existing Articles of Association of the company, the shareholders nominate the board of
directors each year at the Annual General Meeting (AGM). The chairperson heads the directors. The
meeting of the board of directors held quarterly. An operational committee stands between the MD and
the board of directors Meeting of this committee held monthly. The Managing Director reports to the
board of directors at each quarterly meeting and to the operational committed at each monthly meeting.

Recruitment and Selection:

 Recruitment:
The recruitment practice is done mainly on two standard procedure of recruitment. They usually carry out
in-house recruitment and/or post online job ad posting. They usually recruit fresh graduates and allow
them to grow in the company. Applications received are carefully filtered and usually call a handful of
candidates for the post. Grameen phone applies the following rules to achieve recruitment goals:

 To provide enough information for individuals to self-select them out of the process.
  To maintain organizations overall image so that unsuccessful applicants remain
positive.

 To reach at greatest speed as well as possible cost to the organization.

Recruitment is done from both internal and external sources. Both of the sources have some advantages.
The advantages of external and internal sources are given below:

 Internal:
1. It provides moral to the employees.

2. It is easy and convenient to evaluate the employee since they are working in the
organization.

3. It helps to promote loyalty among the employees

4. It helps to retain talented employees

5. It requires less orientation and little induction

6. It involves known faces, thus can be relied upon

7. It is less expensive

 External:
1. Inexperienced potential candidates like fresh graduates can prove themselves.

2. The job seekers with wide range of skill, ability, experience can apply.

3. Retired experience person like mechanics, machinists, accounts and not in the regular
workforce like married woman, persons from minority group etc also have the
opportunity.

The HR division of GP usually recruits round the year. The recruitment circulars are published in
renowned dailies as well as in GP’s website online. Grameen phone also put circular at www.bdjobs.com,
the largest job portal of Bangladesh.

To recruit a new officer (Research & Analysis). The company follows the following steps:

1. Finding out the vacant position:

This is done by the job analysis of that position. Moreover as business is growing and diversifying in
different fields the company needs more (Research & Analysis). To handle the responsibilities of different
fields. This has been identified through job analysis. At the moment the Company is having
officers(Research & Analysis).Within next year they will need two officers (Research & Analysis). to
handle the increased pressure of the project as well as from the customers.
 2. Attracting the field:
To attract the prospective candidates for the position company will advertise through the following
sources: Online job advertisement in different job searching websites like bdjobs, prothomalo jobs,
jobsa1, including and company’s own websites. Newspaper add in leading national and local daily
newspapers like prothom alo/dailystar including sylheter dak etc.A notice will be hung in the company
notice board in the company premises. Company will bear the cost to attract the candidates that’s why
candidates don’t have to pay any thing for making an application.

3. Short listing:
Candidates are short listed by scrutinizing the application forms that are received from the different
candidates. There will be some basic criteria’s to short list the candidates. For instances: The candidate
must be a marketing graduate and he must be computer literate and of course should match experience
criteria. If any candidate does not fulfill any of the above criteria will not be short listed. Candidates who
are short listed must possess fulfill all three criteria. On the basis of best match 50% of the applied
candidates will be short listed.

4. Selection test:
The short listed candidates will be called for a selection test. The test will contain 50marks. The selection
test will divide into two parts. First part is for testing basic marketing concepts and knowledge (out of 40);
while another one will evaluate candidates’ computer literacy (out of 10). For this test each candidate has
to perform some tasks practically sitting using computer within a time frame. At a ratio5:3(attendees:
passed) the top scorers will be asked for employment interview.

5. Employmentinterview:
Candidates who score highest in the selection test will be selected and called for a formal interview. Each
candidate will be given a similar kind of situation where they have to make decision and prove their ability
to handle the situation. During that process the candidates will be tested for the following competencies:

1. Customers services

2. Team work

3. Flexibility

4. Achievement

5. Communication skill

6. Selection decision:
On the basis of the performance in written test and interview 5 candidates will be selected chronologically
starting from the highest scorers. The company will have provision for another 3 candidates in case if any
selected candidates do not accept offer.

7. Job Offer:
Top two candidates will get our formal appointment letter by currier. In the appointment letter the basic
terms of the employment, policies, compensation and their benefits will be briefly mentioned.

8. Evaluation & Employment Contract:

Those who will accept our job offer will be given the final contract letter after successful completion of
their six months probationary period. Each employee will have a line manager to whom they will report.
After six months every line manager will sit with higher management to do the formal evaluation of each
candidate. Thenthe successful candidates will be given the permanent employment contract letter.After
signing this letter the employee will become a full time permanent staff member of the organization.

Performance appraisal
The performance appraisal process of GP is unique. According to an interview with an employee of GP,
told us that, in the beginning of every year, the supervisor provide different tasks to the employees who
are working under him. Every task has its own measurable unit, completion percentage, total completion,
and both employee and supervisors feedback. This process of performance appraisal is known as TDP
(Telenor development process). This process started at earlier 2013. Till 2012 their performance
appraisal process was known as PMP (Performance management process). The supervisor is also being
monitored by his boss in this manner. Bonus is given to the employees based on the percentage of task
completion. Increment is given based on the number of expectation they can meet over their tasks.

(A chart for performance appraisal has been shown in the next page)

Completion Employees Supervisors Empl

Task Closing Date Weight Achievement*
percent* Decision Decision** Com

Meet Exceed
Task 1 31st March 20 100% 20
Expectation Expectation

Meet Below
Task 2 31st Dec 20 100% 20
Expectation Expectation

Meet Meet
Task 3 31st June 20 100% 20
Expectation Expectation

Below Below
Task 4 31st May 20 90% 18
Expectation Expectation

Below Meet
Task 5 31st April 20 90% 18
expectation Expectation

100 96%

*It may vary after one-one meeting amo

employee**It is decided by supervisor aft
Training programs at Grameen phone
The telecommunication sector in Bangladesh is very much competitive. Moreover, employees are
becoming more demanding and sophisticated day by day. In order to meet their increasing demand, the
organization has to provide better training services to their employees. In order to achieve the requisite
level of skills the employees and executives have to be provided with modern learning and knowledge.
Training is the only way to enrich this learning.

HR department arranges all type of in- house and overseas training programs for the employees. Experts
from within the Grameen phone family conduct in-house training programs. These programs include
orientation for new employees, team-building workshops, customized training for the senior managers on
management style, motivation, and project management and handling difficult situations.

Main training activities consist of in-depth foundation programs for entry level Management Trainees.
Specialized training programs in the areas like general e-learning, project management
foundation/professional/advanced trainings programs, feedback & coaching are also organized by HR
depending on need. Frequently outreach programs are organized to meet demand for new and
specialized skills.

New employment orientation programs:

When a new employee joins the Company, s/he needs to be introduced to his/her job as well as to the
Company. The objectives of the orientation are to welcome the incumbent, orient him/her about the
Company’s vision, purpose, values, shareholders, service rules, divisional activities etc. This will make a
new recruit feel s/he is part of the Company.

HR will arrange a two-day orientation program as per requirements. The representatives from each
division will make divisional presentation. Each employee must attend the next available orientation
program from the date of his/her joining.

E-learning:
Grameen phone provides Skill Soft e-learning to its employees helps organizations expand the scope and
impact of management and leadership development training. E-learning training is basically “Technical
Training” .Training for technical programs mainly given after joining to the respected unit. Usually a new
employee sits beside an existing employee for few days to know the ABCs. Then his immediate
supervisor gives him proper training on some tools of application programs on a particular day. The
flexible, technology-enabled e-learning solutions can be used in a variety of formal and informal ways to
reinforce existing leadership training programs, increase their impact, and give first-time and frontline
managers the skills they need to succeed.

Project Management Training Program:

PM trainings are given to the employees of band C & D which mean to the specialists and senior
specialists. This training is mainly “Non- technical” training program. After attending this program
participants will be better able to analyze the feasibility of projects and select the best projects to be
implemented and effectively utilize project management processes, methods, tools, practices and tricks to
successfully select, initiate, plan, implement, monitor, evaluate, control and close projects. This training
helps employees to find out their leadership capabilities; motivating employees through maintaining
interpersonal relationship, planning and decision making, communicating and showing their creativity.
Feedback and Coaching:
Supervisors and managers have the responsibility for providing their employees with effective feedback
and coaching. Regular feedback is an effective tool that managers use to reinforce valued behaviors and
expected results, enhance employee engagement and support high performance.

Career Development:
Career planning/development identify a sequence of development activities, formal and informal, short-
term or long term that helps to make an individual capable of assuming a higher position in future. Career
development programs conducted by TDP (Telenor Development Program).

Divisions are responsible for selection employees to enhance their performance to take higher
responsibility in future. Divisional Head is to facilitate the development of a subscriber’s
career. Management is responsible for providing leadership and ensures effective training programs by
investing in training. HR will pay facilitator’s role in career development.

Succession Management:
There are many reasons why organizations need to be thinking about succession planning. The most
important reason, of course, is that organizations rely on staff to carry out their missions, provide services
and meet their goals.

Whenever size and resources permit, a succession plan should involve nurturing and developing
employees from within an organization. Employees who are perceived to have the skills, knowledge,
qualities, experience and the desire can be groomed to move up to fill specific, key positions. Grameen
phone mainly follows this system to manage their success over the years. Depending on their tasks they
first create any position in the organization. After creating the position they recruit employees to perform
the tasks. So they develop a plan to manage the gaps that will arise when individuals in key positions
leave or are promoted. The plan will generally include a combination of training and developing existing
staff, and external recruitment based on the position and size needed to perform the task.

Reward and Compensation:

Compensation is what an employee receives in exchange for his/her physical and mental works, and
contribution to the company. Compensation does not represent only salary but a wide range of benefits
and service are part of the total compensation package. Grameen phone wishes to pay rewarding and
competitive salaries to attract, retain and motivate competent and skilled employees at all levels of the
Company. Grameen phone wishes to design a compensation system that has strong positive impact on
employees and ultimately on the Company’s performance.

Cash and non-cash benefits:

Cash payment motivates employees through monetary rewards such as salary and allowances. The
Company pays cash benefits according to ability to pay. Non cash benefits such as job security and
making the job interesting is also taken into account

Performance based pay:

Employee productivity, skills and performance are also important determinants of the compensation
system of the Company.

Profit Sharing:
The most significant employee benefit offered by Grameen phone Ltd is Profit Sharing. The profit-sharing
takes place once a year: July. Only the senior employees who are around two or more years get 20%
share of the profit earned. Out of this 20% profit, 75% is distributed in terms of seniority and designation
and the rest 25% is distributed on performance in that period.

Medical Allowance:
Medical allowance is paid to the employee at a fixed amount and the monthly payment is made according
to their position entitlement. This medical allowance is in addition to hospitalization or on duty accident
benefits, if any.
Employee Transportation Benefit:
Grameen phone provides transport benefits to all employees as per the following guidelines &
procedures. For administration purposes of this employee benefit, the Transport Section and the
Transport Policy will be applicable. It is essential that all employees use the transport benefits as
specified in this policy as per rules and guidelines described.

Defined Contribution Plan ( Provident Fund): The company contributes 10% of basic salary of all eligible
permanent employees to a provident fund constituted under an irrevocable trust, while the employee also
contribute an equal amount to the fund as per the rules of the trust deed. The PF maturity period is three
years. Employee has to serve minimum three years for being eligible for both employee and company
contribution.
Defined Benefit Plan (Gratuity): The Company provides retirement benefit in the form of gratuity payments
determined by reference to employees’ earnings and year of service to each eligible employees at the
time of retirement / separation. Gratuity obligation at the reporting date is measured on the basis of
actuary valuation.
Fixation of salary structure: Grameen phone wants a salary system which rewards qualification, good
practice and performance. There are number of ways Grameen phone fixes employees salary. They are:
1. During appointment through salary negotiation. The salary for the new hires will be
fixed based on the position level, the applicant’s qualification, skills, experiences and
the budgetary provision.

2. Due to revision of salary structure, an employee’s salary will be adjusted in such a way
that the new salary shall not be less than his/her current salary.

 For a promotion to higher Grade, employee will occupy the step of the upper grade in
such a way that he/she receives an increased salary not less than his/her one step
increment at the current grade.
Increment:
Grameen phone adjusts employee’s salary in a number of situations. This is one type of benefit on the
basis of performance and any other relevant factors that the company deems fit to be given due
consideration.

There are two types of salary increment:

1. i) Performance Increment: An employee will receive salary increment in case he/she

demonstrates excellent performance throughout the performance year and is
recommended for increment by immediate supervisor according to Performance
Appraisal Process of the Company.

2. ii) Increment during Confirmation: At the time of confirmation, salary increment may be
approved by HR Director based on the recommendation of Director/ Divisional Head.
The concerned Head/Director proposes for increment with proper justification and HR
Director, upon review of the justification, finally approves increment during confirmation.
This type of increment may be considered for excellent performance during
probationary period.
Overtime:
Company expects that employees shall have proper work plan. Disorganized or unplanned work habit
that necessitates extra hours to work is discouraged. In case of emergency, employees may require
working beyond normal working hours for a short duration as approved by department /section heads.
  Overtime Policy:
Employees in officer level or below are eligible for claiming overtime allowances.

Normally overtime is calculated at the double of basic salary on standard working hours (208 hours a
month).

Shift Allowance:
Shift allowance is paid to managers and below level employees who work in a shift other than normal
working hours of 8 AM to 5 PM.

The shift allowance is paid by hourly rate. There are different rates for different established shift jobs.
Respective department can define shift hours according to own convenience but payment will be made as
per the following table:

General Shift: 8:00 a.m to 5 P.m

Evening shift: 4.00 p.m to 12.00 a.m

Night Shift: 12:00 a.m to 8.00 a.m

Bonuses:
All employees are eligible for two bonuses in a calendar year which is an amount equivalent to their two
months basic salary.

One bonus is paid during Eid-ul-Fitr at a flat rate to all employees irrespective of the religion. Another
bonus is paid as per the following festival of different religious affiliation:

1. Eid-ul-Fitr

2. Eid-ul-Azha

3. Durga Puja

4. Christmas

5. Buddha Purnima
Accident Benefits:
In the event, an employee regular or contract, meets an accident while in working hours, in the workplace,
and during carrying out work, the employee will be reimbursed 100% of all legitimate expenses in respect
to such accident.

Organizational Development:
Organizational Development is a field directed at interventions in the processes of human systems
(formal and informal groups, organizations, communities, and societies) in order to increase their
effectiveness and health using a variety of disciplines, principally applied behavioral sciences.
Organizational Development requires practitioners to be conscious about the values guiding their practice
and focuses on achieving its results through people.

Grameen phone always makes their team depending on the job and the job is selected depending on the
organizational importance. When the field is ready then they make a team with a leader leading from the
front, to do that particular job. These groups can be both formal and informal, depending on the job
position. Again some unofficial groups can be made depending on the organizational need and the
preference of the department head.
All the job regarding this is to improve the overall performance of Grameen Phone. In the picture it is
shown that how HR is relating every job with the overall improvement of the company. Again the teams
that are made is depending on the job situation.

So actually HR is organizing all the departments, all the formal and informal group and all the job done to
keep a normal flow of the organization.

HR Information Management:
HR information management, is basically an intersection of human resources and information technology
through HR software. This allows HR activities and processes to occur electronically.

To put it another way, a HR Information Management System may be viewed as a way, through software,
for businesses big and small to take care of a number of activities, including those related to human
resources, accounting, management, and payroll. A HR Information Management allows a company to
plan its HR costs more effectively, as well as to manage them and control them without needing to
allocate too many resources toward them.

In most situations, a HR Information led to increases in efficiency when it comes to making decisions in
HR. The decisions made also increase in quality—and as a result, the productivity of both employees and
manages increase and become more effective.

Grameen phone is always providing enough information to their employee and to their consumers about
their organization so that their investors can take rapid decision and their employee can also know that
what their ultimate goal is. In the picture it is shown that how the HR information management of
Grameen Phone is holding the control over every HR work. Again their systems are intellectually
connected. So this system is passing the information of one department to another department. The
system or the technology they are using they have a lot of back up. So the flow they are maintaining is
not going to be destroyed or distracted what so ever. Pointing those issues it must be said that they are
actually crating a strong brand image as well in front of the investors and consumers with these type of
improved system. So the effectiveness of this activity is also controlled by the HR department of Grameen
Phone.

Conclusion:
Human Resource Management is one of the most important department in any organization. Grameen
phone Ltd. runs it well comparatively other organizations in Bangladesh. In this report we talked about
their Work Design, Recruitment & Selection, Performance Appraisal, Training, Career Development,
Succession Management, Reward, Compensation, Organizational Development and HR Information
Management. They have their own recruitment process which is very effective. Their work environment is
a kind of informal. Every employee has friendly relationship with their colleagues & they work as team.
Their performance bonus and entertainment facility helps to motivate employees. They have both own on
the job and off the job training method which is very effective. Grameen Phone’s mother company
Telenor trying to maintain transparency and accountability to society. Grameen Phone has implemented
TLDP (Telenor Leadership Development Process) and IVC (Internal Value Creation) each year
developed by Telenor to maintain this asset to reach its goal. Bottom line of the project paper is Grameen
Phone is a well-known and most popular mobile phone company in this country.