CHAPTER -01

INTRODUCTION

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1.1 Background of the Study
In a developing country like Bangladesh, the banking system as a whole has a vital role to play
in the progress of economic development. The number of local commercial banks and foreign
banks is increasing day by day. This rapid expansion of the financial market has created
immense competition among the existing local and foreign banks. The core business of a bank is
providing various services (collecting deposits, lending money, foreign exchange services etc.)
directly to the customers. All the banks are now very much concern for providing better services
to survive in the competitive environment. In this report I will explore how effectively AB
BANK LIMITED is providing the Recruitment & Selection Process. In this report, I will identify
Employer’s expectations about AB Banks’ services and the services they actually receive from
the bank. I will also find out whether there is any service gap and will recommend for
minimizing the gap to enhance its service quality. I believe this report will be helpful for me to
gain practical knowledge “Recruitment & Selection Process “operations as it has a great
contribution in the growth of our economy.

1.2 Rational of the Study

I am proposing this topic because; the information on employee Recruitment & Selection process
of AB BANK LIMITED is accessible for me from the Branch and corporate offices. And as a
HR internship student I need to work on such a topic which is directly related with my subject of
study, so I have chosen Recruitment & Selection Process, to meet the internship requirement and
to enrich my HR knowledge. As I want to be HR professional in future so, I think the learning
from this topic will provide me some real life ideas and knowledge on designing a Recruitment
& selection program in future for the employees working in banking sectors. The proposed
report will also help the faculty of business administration to have an overall Recruitment
Process report of an organization and the report can be shown to the HR students so that they can
gather idea from the report and enrich their knowledge with the practical knowledge

1.3 Statement of the problems

As my internship is done in field, so I tried to find out those things which are related with
marketing. As because of my daily activities, I was able to find out that how much the employees
are satisfied with their job. As job satisfaction is a big issue for the betterment of the bank I tried

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to find out the fact for job satisfaction. For my research, I considered Working Environment,
Relationship with supervisor and Financial Reward as independent Variable and Job satisfaction
as dependent variable.
1.4 Origin of the Study
The internship program is an integral part of the BBA program that all students have to undergo
Various Universities of Bangladesh. The students are sent to various organizations where they
are assigned to one or more project. At the end of the program, the internship is required to place
the accomplishment and findings of the project through the waiting of the Internship report
covering the relevant topics. During this program, supervisor guides each student. After
completing my graduation as a student of BBA, Shanto-Mariam University of Creative
Technology, I like to do internship in a reputed Bank, which would be helpful for my future
professional career. I got the opportunity to perform my internship in the AB BANK LIMITED
in Uttara Branch. It was a three months long practical orientation program. This report is
originated as the requirement AB Bank Limited and as well as my BBA degree.

1.5Objective of the Report

I have set objectives in the following way

Broad Objective

My main objective of preparing this report is to identify the problems to give proper Procedures
&solution about Recruitment & Selection Process of AB Bank Limited.

Specific Objectives

Firstly I want to find out what is Recruitment & Selection process and mainly focused on this
issue, the research will go deep in this area to search details of the Recruitment & Selection
Process that are practiced by the company and how help in increasing the employee’s
performance in their designated job. So, in this report would be focused to find out how an
organization links the Recruitment & Selection Process with the performance appraisal. The
study is also undertaken with the following objectives:

 To find out the Recruitment& Selection need of upcoming employee.

 To develop different Selection program.
 To get an overall idea about the overall selected employee performance.
 How to implement the Recruitment & Selection Program.

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1.6 Scope of the Report
As I was assigned to the AB BANK LIMITED Uttara Branch, there is enough scope of the
study. The report covers the topic “Recruitment & Selection process of AB Bank Ltd.” To
conduct a study on Recruitment & selection process of AB Bank Bank, I have gathered valuable
information from AB BANK LIMITED , Uttara Branch and I have also got some information
from website of AB Bank Limited. Despite this topic there are many sectors for working and
analysis, like:
 HR Department in AB BANK LIMITED
 Concept about recruitment and selection
 Job description of AB BANK LIMITED
 Recruitment and selection of AB BANK LIMITED

1.7 Limitations of the study

Though I have given utmost effort to prepare this paper but there are some limitations of the
study. Such are as follows-
 The main constrain of the study was insufficiency of information, which was required for
the study. There are various information the bank employee can’t provide due to security
and other corporate obligations.
 Due to time limitation many of the aspects could not be discussed in the present report.
Learning all the functions within just 90 days is really tough.
 Since the bank personnel were very busy, they could not provide enough time to me.
Lack of opportunity to visit more than one branch.
 The functions and activities of AB Bank are too vast, so they change their strategy day by
day. As a result I can’t collect update information & strategy.

1.8 Methodology of the study

Methods followed to perform a job or conducting activities to complete a task is called
methodology. In conducting this study the following methodology was adopted in collecting data
& information, preparation of reports etc. The methodology of report is given below:

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Research Type:
This is a Descriptive Research, which briefly analyzes the “Recruitment & Selection process”
of AB Bank.
Sources of Data
To prepare this report all the necessary information collected from both primary and secondary
sources of data.
 Primary sources
 Secondary sources
Primary sources of data
In the preparation of this report, data was collected from different primary sources. Different
questionnaire for the HR officer and some data were also obtained by my day-to day activities in
a bank. Recruitment and selection related data were collected through discussion with the
employees of HR department.
Secondary sources of data
Secondary sources of data are of two kinds:
Internal: Annual Reports of AB Bank, Other published documents of the bank, AB Bank
Website.
External: Books, Articles, Journals, Newspaper, Web browsing.

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 CHAPTER-02
COMPANY PROFILE

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2.1 Background of the Bank
The importance of commercial banks after the ravage of the liberation war to develop a better
economy was severally needed and it is needed now and will be required in future also. In time
to time Government of Bangladesh agreed to permit the private commercial banking in the
country.
The AB Bank was incorporated as a public limited company on September 29, 1999 under the
Companies Act 1994. The Bank started its commercial operation on October 05, 1999 with an
authorized capital of BDT 200 Million divided into 2,000,000 ordinary shares of BDT 100 each.
Aiming at offering commercial banking service to the customers’ door around the country, AB
Bank Limited establisher 49 branches up-to this year. This organization achieved customers’
confidence immediately after its establishment in domestic and international markets. AB Bank
is one of the few banks permitted by the Bangladesh bank in the early 90s; the other banks
permitted earlier were Dutch-Bangla Bank, Al-ArafahIslami Bank, Prime Bank, Dhaka Bank,
Eastern Bank. These banks are known as the second generation banks and fortunate to remain
immune from the bad loan culture. However, the performance of these banks are not the same,
the AB Bank Limited remained as one of the top performers among them. The emergence of AB
Bank Limited at the junction of liberation of global economic activities, after the Uruguay round
has been an important event in the financial sector of Bangladesh. The experience of the
prosperous economies of Asian countries and in particular of South Asia has been the driving
force and the strategies behind operational policy option of the Bank, We will continue to aim
for sustainable increase of business functionalities, linking profitability, capital base, risk
adjusted assets and investment for growth. AB Bank Limited has been licensed by the
Government of Bangladesh as a Scheduled Bank in the private sector in pursuance of the policy
of liberalization of banking and financial services and facilities in Bangladesh. In view of the
above, the Bank within a period of 11 years of its operation achieved a remarkable success and
met up capital adequacy requirement of Bangladesh bank.

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2.2 Mission & Vision of AB BANK LIMITED
Company Vision
AB Bank’s vision is based on a philosophy known as AB3V.
We envision AB to be:
 One of the Best Performing Banks in Bangladesh
 The Bank of Choice
 A Truly World-class Bank
Company Mission
We aspire to be the most admired financial institution in the country, recognized as a dynamic,
innovative and client focused company that offers an array of products and services in the search
for excellence and to create an impressive economic value.

2.3 Values of AB Bank Limited

Commitment
Shareholders- Create sustainable economic value for our shareholders by utilizing an honest and
efficient business methodology.
 Community – Committed to serve the society through employment creation, support
community projects and events and be a responsible corporate citizen
 Customers – Render state-of-the-art service to our customers, offering diversified
products and aspiring to fulfill banking needs to the best of our abilities.
 Employees – Be reliant on the inherent merit of the employees and honor our
relationships as a tribute to be a part of this renowned financial institution. Work together
to celebrate and reward the unique backgrounds, viewpoints, skills and talents of
everyone at the work place, no matter what the job in.
Accountability
As a bank, we are judged solely by the successful execution of our commitments; we expect and
embrace that form of judgment. We are accountable for providing the highest level of service
along with meeting the strict requirements of regulatory standards and ethical business practices.

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Agility
We can see things from different perspectives; we are open to change and not bounded by how
we have done things in the past. We can respond rapidly and adjust our mode of operation to
meet stakeholder needs and achieve our goals.
Trust
We value AB Bank, which encompasses transparent and candid communications among all
parties.
Goal
AB people, products and processes are aligned to meet the demand of its discerning customers.
Its goal is to achieve a distinction like the luminaries in the sky. Its prime objective is to deliver a
quality that demonstrates a true reflection of its vision – AB3V

2.4 Strategic Objectives of the Bank

 To ensure inflow of funds at combination of least possible cost.
 To maintain a discreet credit policy.
 To enhance versatility and diversification through the penetration of new market
segments, thereby fulfilling unmet needs.
 To extend financial assistance to the citizenry, living at dispersed locations by expanding
the network of branches.
 To practice stronger IT- driven initiatives that will meet the challenges and requirements
of the bank and its clientele.
 To improve administrative and organizational structures in order to prepare the platform
for best practices of corporate governance.
 To enrich the banking sector with improved awareness on Corporate Social
Responsibility.
 To provide extensive career opportunities through competitive pay and a flexible
environment.

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2.5 Organization Structure
Designations are in ascending order
Chairman
Board of Directors
Executive Committee
Managing Director
Additional Managing Director
Deputy Managing Director
Senior Executive Vice President
Executive Vice President
Senior Vice President
Vice President
Senior Assistant Vice President
First Assistant Vice President
Assistant Vice President
Senior Principal Officer
Principal Officer
Senior Officer
Probationary Officer
Junior Officer
Assistant Officer

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2.6 Capital Structure
The capital structure of AB Bank Ltd. is quite strong. At present, Authorized Capital of the
company is BDT 10.00 Billion (BDT 1000.00 crore) divided into 100,000,000 ordinary shares of
BDT 100 each.
(Amount in million)
Year Authorized Capital Paid up Capital
2006 1000 950
2007 3800 997.92
2008 3800 1496.88
2009 3800 1766.32
2010 10,000 2119.58

From the graph it is seen that in2006 the authorized capital was 1000 million and paid up capital
was 950 million. The authorized capital and paid up capital both are increased year by year. In
2010 its authorized capital increased by10000 million and paid up capital also increased by
2119.58 million.

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 CHAPTER-03
LITERATURE REVIEW

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3.1 Human Resource Management
HRM is concerned with ‘people’ dimension in management. Since every organization is made up
of people, acquiring their services, developing their skills, motivating them to high levels of
performance, and ensuring that they continue to maintain their commitment to the organization
are essential to achieving organizational objectives. Those organizations that are able to acquire,
develop, stimulate, and keep outstanding workers will be both effective and efficient.

3.2 Human Resource Management Components

The Human Resource Management (HRM) components are described below:
External influences
Important environmental influences of HRM practices include government regulations, labor
unions, management practices, an Equal Employment Opportunity (EEOC). It has been argued
that these forces have a major impact on HRM by constraining the decision-making discretion of
mangers. Who can be hired and fired, how personnel information is disseminated, what
equipment can and cannot be used, what methods can be used for evaluating jobs and employee
performance, and how wage rates are determined are just a few of the issues that have
constrained many organizations.

Acquisition of Human Resources

It is here that management ensure that is has the right number and kind of people, at the right
places, at the right times, capable of effectively and efficiently completing the work required so
that the organization can achieve its overall objectives.
If human resource planning discovers the need to hire additional employees, one must discover
potential applicants. These potential applicants must be screened to identify job applicants who
are likely to be successful if hired.
The acquisition function is completed when the selected applicants have been placed in the
organization’s culture and their work environment. The organization’s culture conveys how
things are done and what matters. When employees have adapted to the organization’s culture,
they have “learned the rope” or “Socializing the New Employee.”

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Development of Human Resources
Competent employees will not remain competent forever. Some are minimally qualified upon
entering the organization but require additional training or education. Others enter the
organization capable of performing at an optimal level, but their skills become obsolete over
time and of course organizations change over time and management must ensure that there is an
appropriate match of individual abilities with organizational needs future. Each of these is
considered in the development function.
Employee training gives individuals specific skills that they will use on the job; management
development looks at practice for ensuring a continual flow of managers. When human resources
have been developed effectively, one can expect to have competent employees with up-to-date
skills and knowledge.

Motivation of Human Resources

High performance depends on both ability and motivation. Many employees with extraordinary
talent do not perform satisfactorily because they will not exert the necessary effort. Therefore,
we desire to have capable employees who are highly motivated.
If a person performs effectively, extrinsic factors such as job design, working conditions, job
security, and supervision must be seen as satisfactory. But that alone is not enough. Many people
also look for intrinsic factors such as achievement, recognition, and responsibility from their
work. For individuals who place high value on intrinsic factors, the absence of these factors can
reduce one’s willingness to exert high degrees of effort. But other forces can influence
motivation. The performance appraisal process and its outcome will affect an employee’s
motivation. People expect their work to be objectively evaluated. If they think their efforts will
be unfairly judge, motivation will decrease. Furthermore, there rewards or punishments that
follow the appraisal will influence motivation. At this juncture, if we have effectively motivated
the individual who has up-to-date skills and knowledge we can expect to have a competent
employee who desire to exert a high level of effort.

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3.3 Meaning of Recruitment
Recruitment means to estimate the available vacancies and to make suitable arrangements for
their selection and appointment. Recruitment is understood as the process of searching for and
obtaining applicants for the jobs from among whom the right people can be selected.
According to Edwin B. Flippo, “Recruitment is the process of searching the candidates for
employment and stimulating them to apply for jobs in the organization”. Recruitment is the
activity that links the employers and the job seekers. A few definitions of recruitment are:
 A process of finding and attracting capable applicants for employment. The process
begins when new recruits are sought and ends when their applications are submitted. The
result is a pool of applications from which new employees are selected.
 It is the process to discover sources of manpower to meet the requirement of staffing
schedule and to employ effective measures for attracting that manpower in adequate
numbers to facilitate effective selection of an efficient working force.
Recruitment is a continuous process whereby the firm attempts to develop a pool of qualified
applicants for the future human resources needs even though specific vacancies do not exist.
Usually, the recruitment process starts when a manger initiates an employee requisition for a
specific vacancy or an anticipated vacancy.

3.4 Purpose of Recruitment

1. Determine the present and future requirements of the organization on conjunction with its
personnel-planning and job analysis activities.
2. Increase the pool of job candidates at minimum cost.
3. Help increase the success rate of the selection process by reducing the number of visibly
under qualified or overqualified job applicants.
4. Help to reduce the probability that job applicants.
5. Meet the organization’s legal and social obligations regarding the composition of its work
force.
6. Begin identifying and preparing potential job applicants who will be appropriate
candidates.
7. Increase organizational and individual effectiveness in the short term and long term.

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 8. Evaluate the effectiveness of various recruiting techniques and sources for all types of job
applicants.
Recruitment is a positive function in which publicity is given to the jobs available in the
organization and interested candidates are encouraged to submit applications for the purpose of
selection. Recruitment represents the first contact that a company makes with potential
employees. It is through recruitment that many individuals will come to know a company, and
eventually decided whether they wish to work for it. A well-planned and well-managed
recruiting effort will result in high quality applicants, whereas, a haphazard and piecemeal efforts
will result in mediocre ones.

3.5 Sources of Recruitment

Every organization has the option of choosing the candidates for its recruitment processes from
two kinds of sources: internal and external sources. The sources within the organization itself
(like transfer of employees from one department to other, promotions) to fill a position are
known as the internal sources of recruitment. Recruitment candidates from all the other sources
(like outsourcing agencies etc.) are known as the external sources of recruitment.

Internal Recruitment
Internal recruitment seeks applicants for positions from within the company. The various internal
sources include:
 Promotions and Transfers: Promotion is an effective means using job posting and
personnel records. Job posting requires notifying vacant positions by posting notices,
circulating publications or announcing at staff meetings and inviting employees to apply.
Personnel records help discover employees who are doing jobs below their educational
qualifications or skill levels. Promotions has many advantages like it is good public
relations, builds morale, encourages competent individuals who are ambitious, improves
the probability of good selection since information on the individual’s performance is
readily available, is cheaper than going outside to recruit, those chosen internally are
familiar with the organization thus reducing the orientation time and energy and also acts
as a training device for developing middle-level and top-level managers. However,
promotions restrict the field of selection preventing fresh blood & ideas from entering the

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 organization. It also leads to inbreeding in the organization. Transfers are also important
in providing employees with a broad-based view of the organization, necessary for future
promotions.
 Employee referrals: Employees can develop good prospects for their families and
friends by acquainting them with the advantages of a job with the company, furnishing
them with introduction and encouraging them to apply. This is a very effective means as
many qualified people can be reached at a very low cost to the company. The other
advantages are that the employees would bring only those referrals that they feel would
be able to fit in the organization based on their own experience. The organization can be
assured of the reliability and the character of the referrals. In this way, the organization
can also fulfill social obligations and create goodwill.
 Former Employees: These include retired employees who are willing to work on a part-
time basis, individuals who left work and are willing to come back for higher
compensations. Even retrenched employees are taken up once again. The advantage here
is that the people are already known to the organization and there is no need to find out
their past performance and character. Also, there is no need of an orientation program for
them, since they are familiar with the organization.
 Dependents of deceased employees: Usually, banks follow this policy. If an employee
dies, his / her spouse or son or daughter is recruited in their place. This is usually an
effective way to fulfill social obligation and create goodwill.
 Recalls: When management faces a problem, which can be solved only by a manager
who has proceeded on long leave, it may de decided to recall that persons after the
problem is solved, his leave may be extended.
 Retirements: At times, management may not find suitable candidates in place of the one
who had retired, after meritorious service. Under the circumstances, management may
decide to call retired managers with new extension.
 Internal notification (advertisement): Sometimes, management issues an internal
notification for the benefit of existing employees. Most employees know from their own
experience about the requirement of the job and what sort of person the company is
looking for. Often employees have friends or acquaintances who meet these
requirements. Suitable persons are appointed at the vacant posts.

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External Recruitment
External recruitment seeks apply for positions from sources outside the company. They have
outnumbered the internal methods. The various external sources include:
 Professional or Trade Associations: Many associations provide placement service to its
members. It consists of compiling job seeker’s lists and providing access to members
during regional or national conventions. Also, the publications of these associations carry
classified advertisements from employers interested in recruiting their members. These
are particularly useful for attracting highly educated, experienced or skilled personnel.
Also, the recruiters can zero on in specific job seekers, especially for hard-to-fill
technical posts.
 Advertisements: It is a popular method of seeking recruits, as many recruiters prefer
advertisements because of their wide reach. Want ads describe the job benefits, identify
the employer and tell those interested how to apply. Newspaper is the most common
medium but for highly specialized recruits, advertisements may be placed in professional
or business journals. Advertisements must contain proper information like the job
content, working conditions, location of job, compensation including fringe benefits, job
specifications, growth aspects, etc. The advertisement has to sell the idea that the
company and job are perfect for the candidate. Recruitment advertisements can also serve
as corporate advertisements to build company image. It also cost effective.
 Employment Exchanges: Employment Exchanges have been set up all over the country
in deference to the provision of the Employment Exchanges (Compulsory Notification of
Vacancies) Act, 1959. The Act applies to all industrial establishments having 25 workers
or more each. The Act requires all the industrial establishments to notify the vacancies
before they are filled. The major functions of the exchanges are to increase the pool of
possible applicants and to do the preliminary screening. Thus, employment exchanges act
as a link between the employers and the prospective employees. These offices are
particularly useful to in recruiting blue-collar, white collar and technical workers.
 Campus Recruitments: Colleges, universities, research laboratories, sports fields and
institutes are fertile ground for recruiters, particularly the institutes. Campus Recruitment
is going global with companies like HLL, Citibank, HCL-HP, ANZ Grind lays, L&T,
Motorola and Reliance looking for global markets. Some companies recruit a given

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 number of candidates from these institutes every year. Campus recruitment is so much
sought after that each college; university department or institute will have a placement
officer to handle recruitment functions. However, it is often an expensive process, even if
recruiting process produces job offers and acceptances eventually. A majority leave the
organization within the first five years of their employment. Yet, it is a major source of
recruitment for prestigious companies.
 Walk-ins, Write-ins and Talk-ins: The most common and least expensive approach for
candidates is direct applications, in which job seekers submit unsolicited application
letters or resumes. Direct applications can also provide a pool of potential employees to
meet future needs. From employees’ viewpoint, walk-ins are preferable as they are free
from the hassles associated with other methods of recruitment. While direct applications
are particularly effective in filling entry-level and unskilled vacancies, some
organizations compile pools of potential employees from direct applications for skilled
positions. Write-ins are those who send written enquiries. These jobseekers are asked to
complete application forms for further processing. Talk-ins involves the job aspirants
meeting the recruiter (on an appropriated date) for detailed talks. No application is
required to be submitted to the recruiter.
 Contractors: They are used to recruit casual workers. The names of the workers are not
entered in the company records and, to this extent; difficulties experienced in maintaining
permanent workers are avoided.
 Consultants: They are in the profession for recruiting and selecting managerial and
executive personnel. They are useful as they have nationwide contacts and lend
professionalism to the hiring process. They also keep prospective employer and employee
anonymous. However, the cost can be a deterrent factor.
 Head Hunters: They are useful in specialized and skilled candidate working in a
particular company. An agent is sent to represent the recruiting company and offer is
made to the candidate. This is a useful source when both the companies involved are in
the same field, and the employee is reluctant to take the offer since he fears, that his
company is testing his loyalty.
 Radio, Television and Internet: Radio and television are used to reach certain types of
job applicants such as skilled workers. Radio and television are used but sparingly, and

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 that too, by government departments only. Companies in the private sector are hesitant to
use the media because of high costs and also because they fear that such advertising will
make the companies look desperate and damage their conservative image. However,
there is nothing inherently desperate about using radio and television. It depends upon
what is said and how it is delivered. Internet is becoming a popular option for recruitment
today. There are specialized sites like naukri.com. Also, websites of companies have a
separate section wherein; aspirants can submit their resumes and applications. This
provides a wider reach.
 Competitors: This method is popularly known as “poaching” or “raiding” which
involves identifying the right people in rival companies, offering them better terms and
luring them away. For instance, several executives of HMT left to join Titan Watch
Company. There are legal and ethical issues involved in raiding rival firms for potential
candidates. From the legal point of view, an employee is expected to join a new
organization only after obtaining a ‘no objection certificate’ from his/ her present
employer.
 Mergers and Acquisitions: When organizations combine, they have a pool of
employees, out of whom some may not be necessary any longer. As a result, the new
organization has, in effect, a pool of qualified job applicants. As a result, new jobs may
be created. Both new and old jobs may be readily staffed by drawing the best-qualified
applicants from this employee pool. This method facilitates the immediate
implementation of an organization’s strategic plan. It enables an organization to pursue a
business plan, However, the need to displace employees and to integrate a large number
of them rather quickly into a new organization means that the personnel-planning and
selection process becomes critical more than ever.

3.6 Evaluation of External Recruitment

External sources of recruitment have both merits and demerits.
The merits are
 The organization will have the benefit of new skills, new talents and new experiences, if
people are hired from external sources.

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  The management will be able to fulfill reservation requirements in favor of the
disadvantaged sections of the society.
 Scope for resentment, heartburn and jealousy can be avoided by recruiting from outside.

The demerits are

 Better motivation and increased morale associated with promoting own employees re lost
to the organization.
 External recruitment is costly.
 If recruitment and selection processes are not properly carried out, chances of right
candidates being rejected and wrong applicants being selected occur.
 High training time is associated with external recruitment.
Recruitment Strategies
Recruitment is of the most crucial roles of the human resource professionals. The level of
performance of an organization depends on the effectiveness of its recruitment function.
Organizations have developed and follow recruitment strategies to hire the best talent for their
organization and to utilize their resources optimally. A successful recruitment strategy should be
well planned and practical to attract more and good talent to apply in the organization.
For formulating an effective and successful recruitment strategy, the strategy should cover the
following elements:

Identifying and prioritizing jobs

Requirements keep arising at various levels in every organization; it is almost a never-ending

process. It is impossible to fill all the positions immediately. Therefore, there is a need to identify
the positions requiring immediate attention and action. To maintain the quality of the recruitment
activities, it is useful to prioritize the vacancies whether to focus on all vacancies equally or
focusing on key jobs first.

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Candidates to target:
The recruitment process can be effective only if the organization completely understands the
requirements of the type of candidates that are required and will be beneficial for the
organization. This covers the following parameters as well:
 Performance level required: Different strategies are required for focusing on hiring high
performers and average performers.
 Experience level required: the strategy should be clear as to what is the experience level
required by the organization. The candidate’s experience can range from being a fresher
to experienced senior professionals.
 Category of the candidate: the strategy should clearly define the target candidate. He/she
can be from the same industry, different industry, unemployed, top performers of the
industry etc.
3.7 Meaning of Selection
The term ‘selection ‘denotes a choice of one or some from amongst many. The vital importance
of making the right selection of staff for any enterprise cannot be overemphasized. While
selecting employees, it should be borne in mind that they are the greatest source of an
organization. Building and money are always secondary. The critical element is always the spirit,
teamwork and the skill of the organization’s personnel. Everything can be bought or reproduced
except skilled and dedicated service. Selection is basically picking an applicant from (a pool of
applicants) who has the appropriate qualification and competency to do the job. Selection is the
process that starts with gathering complete information about the applicant from his application
form and ends with inducting the candidate into the organization.

3.8 Selection Process

Collection of Curriculum Vitae (CV)
It is the applicant’s responsibility to send his/her CVs in time to the given address. Lafarge
collects CVs through internets, postal Dhaka, currier and by hand who are coming physically.
Screening/Short listing
After detail study and analysis the CVs are sorted department wise and short listed for call up
message. Important aspect that is noticed during sorting is whether the qualification, experience
and other details matches with the requirement. The underlying objectives of the initial or

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preliminary searching are to eliminate obvious misfits from a considerably large number of
applicants. It reduces time and cost of actual selection. Initially a list of qualifications and
experience is prepared and the HR department alone or in association with the concerned
departmental head reviews the lists and sorts out likely acceptable applicants. In the process of
initial screening, generally the eliminatory factors pointing to the unsuitability of an applicant
are:
 In adequacy of applicants experience and education.
 Too many jobs of short duration changes of job frequently shows a person with poor
records.
 Frequent changes of residence (may be as a result of job change) shows instability in the
makeup of the applicant.
 Applicants those with a recent separation or divorce shows instability and under
emotional involvement that may hamper the work they would do.
 Long unemployment shows particular information of unwillingness or not desired for
employment.
 Application poorly written misspelling, blots erasures, and at places illegible shows less
interest.
After the initial screening is done a list of likely acceptable candidates are made. Sometime final
screening also done by personnel manager in association with the departmental heads.
Reference check
Generally reference imply letter of commendation, which are mainly two types:
 Character references as provided by friends and acquaintance of the applicant.
 From previous employers or teachers, .the process is mainly regular checks which
concerned with verification or confirmation of factual information as provided in the
application.
Methodology of reference check
 There are many methods to check the reference but mostly used are:
 The Mail .This method is used in soliciting opinion of people who cannot be easily
accessible on telephone. Though it is economical but suffers from drawbacks like not
answering and delayed answer etc.

23
  The Telephone. This is more useful and advantageous method. It is more popular,
quicker, and cheaper than the written quarries through mail. The reliability of such
personal contacts is also greater.
 Personal Visit. The personal visit is of still more beneficial than a telephone call. It
allows longer conversation and reliability is more. Though it is time consuming and
expensive.
One thing is more important while reference checking is that the kind of relationship of the
candidates with those whom they refer. It should be carefully determined, considered and
weighted while evaluating the opinion expressed. It is often the case that reference with high
commendation carries a stigma behind it that the employer wants to get rid of the applicant. It is
nothing unusual in the modern business practice.
Test
Selection and employment tests are usually administered after the application has been examined
and candidate appears to be acceptable, test involves both professional and psychological. The
importance of tests is recognized and found more suitable tool for selecting their employees,
primarily tests supplement the information already collected though application.
Objective of Test:
The main objectives of the test include:
 Measuring job applicant’s latent abilities, experience, education and suitability to perform
assigned job.
 Means of eliminating misfits and failure and thus selecting the right man for right job.
 Tests help improving the personnel selection procedure.
 The test seeks to eliminate the possibility of prejudice or bias on the part of an
interviewer for taking selection decisions.
 Test contributes greatly to training programs by identifying the weaknesses and
deficiencies of individuals.
Types of Test
In broad classification of test, it may be placed in two categories firstly, those tests involving
group approach and applicable to many individual at one time. Secondly, those tests with
individual approach, which require separate examination for each person being tested. Few of
the typical tests in each category are:

24
 Intelligence test.
 Aptitude test.
 Dexterity test.
 Personality test.
 Interest test.
 Achievement of proficiency test.
 In Lafarge IT test is carried out to judge the IT knowledge of the candidates.

25
Interview
The applicant passed though the screening test and his/her references also having been checked
up, he/she is now ready for final interview. It is the last phase of selection process. According to
the Scott “An interview is purposeful exchange of ideas, the answering of questions and
communication between two or more persons”.
In the process the interviewer also well equipped with a significant amount of factual data about
the applicant, the personal history, test scores and references etc.
Interview is considered to be the most important universal method of evaluation and is widely
used for effective selection and placement. It is recognized as the “heart” of the employment
process. However at the same time the interview is perhaps a highly intricate, complicated and
difficult part of the selection procedure.
 Objective of Interview, Some of the important objectives are:
 An interview enables the interviewer to view the “total individual” about the applicant.
 An intelligent and experienced interviewer can get the clues to discover application
aspiration, behavior and other interpersonal attitude.
 A means of motivating the applicant of the advantage of employment in the organization
and vice versa.
 In creates the mutual understanding and confidence between HR department and
prospective employees of the company.
 The interview promotes the good will towards the company, as matter of fact whether the
application is selected for employment or not.
 Types of Interview:
 There are four types of interview commonly in use in the process of selection. These are:
 Preliminary Interview. In the preliminary interview the applicant is apprised of the
nature of the job terms and condition and the policies of the company. It the candidate
after the preliminary interview appears to be likely acceptable, he/she is placed in the
short list.
 Structured Interview. The structural interview primarily relates to direct or indirect
questioning, questions more or less have been already framed. The question mainly
covers work experience, education and career planning.

26
  The Stress Interview. This type of interview is used to discover and assess some of the
very important personality characteristics of the applicant. In brief it helps to find out
his/her reaction towards any stress or uncomfortable situation likely to face. It should be
remember that, the situation to be created tactfully and carefully to bring out the exact
feelings of the candidate.
 Group Interview. This type of interview is used when the numbers of applicants for a
given job is large and there is less time available. This type of Interview saves time and
proves to be economical. However, it should be conducted by an interviewer having well
judgment and long experience.

3.9 Selection Approaches

1. Ethnocentric Selection:
In this approach, staffing decisions are made at the organization’s headquarters. Subsidiaries
have limited autonomy, and the employees from the headquarters at home and abroad fill key
jobs. Nationals from the parent country dominate the organizations at home and abroad.
2. Polycentric Selection:
In polycentric selection, each subsidiary is treated as a distinct national entity with local control
key financial targets and investment decisions. Local citizens manage subsidiaries, but the key
jobs remain with staff from the parent country. This is the approach, which is largely practiced in
our country.
3. Re-geocentric Selection:
Here, control within the group and the movements of staff are managed on a regional basis,
reflecting the particular disposition of business and operations within the group. Regional
managers have greater discretion in decision. Movement of staff is largely restricted to specific
geographical regions and promotions to the jobs continue to be dominated by managers from the
parent’s bank.
4. Geocentric Staffing:
In this case, business strategy is integrated thoroughly on global basis. Staff development and
promotion are based on ability, not nationality. The broad and other parts of the top management
structure are thoroughly international in composition. Needless to say, such organizations are
uncommon.

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 CHAPTER-04
RECRUITMENT AND SELECTION PROCESS

28
4.1 Recruitment and Selection Process of AB Bank Limited
Human Resource management is of paramount importance for Bank Management. Bank’s
physical resources, human resources and technology are to be combined into a productive system
to achieve organizational goals Human resource recruitment involves evolving an appropriate
planning process to move the Bank from its particular human resource position to desire human
resource position and placement of right of people at the right place at the right time.

4.2 Human Resource planning

Recruitment and Selection are not simply mechanisms for filling vacancies rather they are
viewed as the key factor for suitable placements. Effective human resource planning helps in
determining the gaps present in the existing manpower of the bank. It also helps in determining
the number of employees to be recruited and what qualification they must possess.

4.3 Manpower Requisition

Based on the HR Planning respective Division/Department Head informs HR on personnel
requirement through Manpower Requisition form, after obtaining necessary approvals from the
Managing Director. Employment Requisition Form must contain a JTOR (Job Terms of
Reference), comprising Job Description and Job Specifications / Requirements of the position.
Requisition form contain some information like
 Name of the position
 Status of the employment
 Job description
 Job specification
 Approval of the HRD

4.4 Recruitment Principles

All appointment / recruitment in the Bank will be made by direct recruitment as per approved
criteria or by promotion as per promotion policy approved and or amended / updated by the
competent authority from time to time.

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4.5 Recruitment and Selection Channel
AB Bank Limited uses both the external and internal channel for their recruitment and selection.
The external and internal channel is described below:
External Source of recruitment and selection
The external source of recruitment and selection of National Bank are:
 News Paper advertisement.
 Website of AB Bank.
 www.bdjobs.com
 www.prothomalojobs.com
Advertisement:
Advertisement is a well known and worldwide accepted source of recruitment. Like other
company AB BANK LIMITED also has a career website from where applicants can fill up an
application forms. When the job requirement is matched with the applicant’s CV then HR selects
these applications for recruitment.
Internet:
Internet advertisement is another new source of Recruitment. Now a day every employee has a
website and they collect CVs by internet. Ever there is lots of job website and company can send
advertisement over there. Recently AB BANK LIMITED lunched a career website for the
candidates.
Like other company AB BANK LIMITED also give advertisement over net. Generally AB
BANK LIMITED gives advertisement in www.bdjobs.com. The interested candidates whose
profiles match with the requirements can apply for job over the net. By this way AB BANK
LIMITED gets many CVs.

4.6 Recruitment of AB Bank Limited

No person shall be appointed in the service of the Bank unless:
 Qualified medical practitioner acceptable to the Bank certifies that the applicant is
physically and mentally fit for service in the Bank.
 The applicant has not been dismissed / terminated from the service or his service has
been dispensed with for any specific reason with his / her former employer for financial
irregularity or act of dishonesty / fraud / forgery. Those lateral entrants who have been

30
 dismissed / terminated from the service of their former employers after submission of
their resignations with the intent to join National Bank Limited shall, however, remain
outside the purview of this sub-rule.
 The age limit of the applicant for fresh entry in the Bank should be within the age bracket
of 22-30 years. For lateral entry, the maximum age limit will be 50 years. It will not,
however, be applicable in case of contractual employment.

4.7 Recruitment and selection procedure categories

Recruitment and selection procedure of AB BANK LIMITED three categories
 Top level
 Middle level
 Lower level
Recruitment and selection process of AB BANK LIMITED is almost same for the middle and
lower level. Because of AB BANK LIMITED used external source to recruit their middle and
lower level employees. But the recruitment and selection process of top level is different. AB
BANK LIMITED also uses internal source for recruiting the top level employees.
1. Recruitment and selection procedure for top level
Job Analysis
Mutual Bank job analysis is the process used to collect information about the duties,
responsibilities, necessary skills, outcomes, and work environment of a particular job.
Job Description
National Bank Job descriptions are written statements that describe the:
 Duties,
 Responsibilities,
 Most important contributions and outcomes needed from a position,
 Required qualifications of candidates, and
 Reporting relationship and coworkers of a particular job.
Job Specification
Derived from job analysis, it is a statement of employee characteristics and qualifications
required for satisfactory performance of defined duties and tasks comprising a specific job or
function. For the top level recruitment process Mutual Bank uses the internal source.

31
Work Experience
From this step the selection process for the top level starts. The work experience of the selected
employees is verified by the Managing Director. The National Bank selects the experienced
employees for the top level post. Because the top level employees have to make decisions and
sometime they have to taking quick decisions without discussing with all the employees.
Check Performance
In this step the Managing Director evaluated the previous performance in the Performance
Appraisal of the selected employees.
Placement
The HR department issued the appointment letter against the selected employee. When the
appointed employee joins in the Bank, than the Bank provide them the work place according to
their post.
2. Recruitment and selection procedure for Middle level and lower level
Identifying the vacancy
Identifying the vacancy for the middle or lower level is done by the departmental head. The
departmental head informed the HR head about the vacancy. Some time it happened by the
observation. Analysis of a job is to determine the responsibilities inherent in the position as well
as the qualifications needed to fulfill its responsibilities. Job analysis is essential when recruiting
in order to locate an individual having the requisite capabilities and education.
Job description
Job description is a legal document. It focused on job. AB Bank Limited preserve a written
narrative description which included with the activities performs in the job information about the
requirement working condition under job is performed
Job Specification
AB BANK LIMITED also has done job specification which focused on employee. It is specifies
employees skills, abilities, behavioral pattern and other personal characteristics.
Submission CVs
The people who selected himself or herself for the certain job they submit their CVs at HRD,
Head Office.

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Preparation of preliminary list
The Selection Panel shorting the CVs list. For preparing the preliminary list AB Bank Limited
follows their selected educational requirement for the selected posts which are given below:
Management Trainee
1. The applicant should be at least a MBA/MBM degree holder from a reputed educational
institution with a minimum 10 points for MBA/MBM throughout the academic career
with no 3rd division/class in his/her academic career.
2. Minimum CGPA 3.00 or above from DU/ IBA/NSU/ or any other
reputed/recognized/Local/foreign University as may be deemed fit by the Bank
Management from time to time. No. 3rd division/class in his/her academic career shall be
acceptable.
Probationary Officer
1. The applicant should be at least a Master Degree/BBA holder from a recognized
educational institution with minimum 9 points. No. III (third) Division/Class shall be
acceptable.
Trainee Junior Officer
The applicant should be a Master Degree holder from a recognized educational institution.

Trainee Junior Officer (System)

1. The applicant should be a Master Degree holder from a recognized educational
institution.
2. Minimum 8 (eight) points are required.
3. The candidate should have computer literacy.

Trainee Computer Officer

1. Graduation with Minimum 6 (six) points.
2. The candidate should have Computer Knowledge for PC operation.

Trainee Cash Officer:

1. Graduation with minimum 6 (six) points.

33
Assistant Officer (AO)
1. Master Degree or 4-year Bachelor Degree in any discipline with a minimum of 2nd class in all
academic levels
2. Two years of experience in IT related jobs in a reputed organization preferably in banking
sector.
Preparation of preliminary list
The Selection Panel selected some attractive applicants for the written test to follow their
selected educational qualification.
Conducting written test
The subject matter of the written test may be General Aptitude, General Knowledge, Arithmetic,
English, Bengali or as will be determined by the External Authority. Probationary Officer /
Management Trainee shall be recruited after taking a competitive written test to be conducted by
IBA or any other organization equivalent to the standard of IBA.
Selection of eligible candidates for the Interview (VIVA-VOCE)
Those who can get 65% marks in the written test those can select for the next steps as eligible
candidates.
Calling the selected candidates for the Interview
The selection panel called the qualified applicants by phone or mail for attaining Interview.
Conducting Interview or VIVA-VOCE
The selection panel organized an interview. The interviews always hold at face to face
conversation. But the qualification marks for viva-voce will be determined by the Bank
Management.
Investigation of applicant details
The selection panel investigates the qualified applicant’s previous life history to ensure that, if
the applicants were involved with any illegal activities.
Preparation of desirable candidates’ list
After the investigation of the applicants previous life the selection panel make a list of the
applicants whose past life histories are positive.
Final approval by the competent authority
The experienced authority endorses the desirable candidate that they find by lots of
measurement.

34
Physical fitness for employment
Physical testing is part of selection process. Because sometime the better qualified candidate may
has some critical diseases. Which create problem his or her joining in service. For this reason he
or she unable to continue the service. For that the bank becomes fall in some trouble because the
recruitment ant selection process is time killing, lengthily and also a expensive process. In AB
Bank Limited accomplish physical testing for all type of employees. Although it is a expensive
decision but AB Bank Limited are committed to do physical testing for ensuring employees
sound health.

Appointment and placement

Selection panel has issued the appointment letter, which are physically fit according to the
medical test. When the appointed candidate join in the bank than the bank provide them the
work place according to their post. After completion of probationary / training period, the
performance of a fresh officer shall be evaluated by the Management. In the Performance
Appraisal, the concerned officer has to score minimum 60%-65% marks for absorption in the
regular service of the Bank. In case, he / she fail to secure 60%-65% marks, the Management
may extend the probationary.

4.8 SWOT Analysis of AB Bank Limited

In SWOT analysis two factors act as prime movers
 Internal factors which are prevailing inside the concern which include Strength and
weakness.
 On the other hand another factor is external factors which act as opportunity and threat.
Strength:
 Strong Human Resource Department.
 Fair recruitment policy.
 Tendency of equal employment opportunity.
 Strong written and oral test for the selection process.
 Energetic as well as smart work force.
 Efficient administration.
Weakness:

35
  Lengthy process of job circular.
 Lengthy process of selection process.
 HR Officers are not sufficient.
 Officers have limited experience and not enough trained.

Opportunity:
 Campus campaign for the search of potential candidates.
 Good relation with the recruitment agencies.
 Outside source of selection of employee like job fair.
 A large number of candidates to choose from.
Threats

 Competitors have more improved HRD.

 Candidate’s presenting of their educational and experience background.
 Turnover rate of the industry employees.
 Young, energetic, dynamic, talent and smart work force of competitors.

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 CHAPTER-05
FINDINGS, RECOMMENDATIONS

37
5.1 Major Findings
The overall activities of AB Bank Limited and as well as Human Resource Practices running
smoothly. The overall activities along with Recruitment & Selection Process may be improved
by the following steps:
 The working environment should be established at outstanding way so that the employee
can fulfill their job in most effective manner and smoothly.
 The percentage of women employee should be increased.
 Employment planning should be done scientifically so that everybody comfortably does
his or her duties.
 Incentive policies may be changed to attract people to ensure retention of skill manpower.
 Recruitment should be done systematically to ensure the right person in the right job.
 Inter-personal communication may be improved to have better supervisory
understanding.
 HR department of AB Bank Limited provides a better planning and compensation
package to their employees with compare to its peer group.
 AB Bank Limited mainly emphasizes on internal & external sources for recruitment.
 Internally the bank discloses the positions of the job and announces it to all current
employees. Nature of the position and the qualification needs for the job is described in
the announcement so that the interested candidates can apply.
 For external sources the AB BANK LIMITED does advertisement, takes help from the
employment agencies (only for technology department), does campus recruitment,
arranges internship for the students, takes employee from personal contact or by
employee leasing.
 Once the recruitment and selection process is done then the employees are appointed
based on their job description.
The Recruitment and selection process of AB Bank Limited is quite commendable. Systematic
and timely monitoring and appropriate documentation are tried to be maintained.

38
5.2 Recommendations
 HR department should develop such a system through which they can assess employees
without any influence. Or they can develop self assistance system where employees will
provide information to the HR department individually monthly.
 AB Bank Ltd. is running a well designed recruiting process but they should follow an
influence free and fair judgmental decision to recruit any new employee.
 HR department should develop a system for personal problem solving, counseling to
individual employee so as to get and retain skilled employees.
 In the selection and recruitment process the responsible personnel should be more
transparent as some of the internal and external applicants mentioned.
 HR department should undertake a background investigation of applicants who appear to
offer potential as employees.
 Usually promotions are based on seniority but it should be based on employee skills,
performance as well as experience.
 Tactful discipline is required in order to implement sound human resource management
system.
 AB Bank Ltd. needs more man power for handling its huge volume of employees.
Finally the Bank should have the vision to automate it’s all operations and functionalities and
should be committed to achieve the goal to be a lead Bank in the country both in service and in
technical aspect and to fulfill the requirements of mass people.

39
5.3 Conclusion
Recruitment is an important issue for any organization. Recruitment and selection allows an
organization to assess the vacancy and choose the best personnel who will lead the organization
in future. So the organization should give more emphasize on selecting a person. At this moment
AB Bank Ltd. is in growing position. But the strategies of the Bank will make it a good
performer. So we find out that the human resource practice, recruitment and selection process,
employee satisfaction and relations practice at AB BANK LIMITED is developing rapidly. As a
private bank should analyze the recruitment and selection process. The most important key
source factor of the bank is its efficient human resource. It is high time for the authority to look
closely the prevailing issue of recruiting people and thus the Bank will get efficient
professionals, which will increase the productivity as well as revenue.

40
5.4 Questionnaire

Name:
Company’s name:
Designation:
Date:

1. What source you adopt to source candidates?

a. Employee referral
b. Campus recruitment
c. advertising
d. Recruitment agencies
e. Job portals
f. Other, pls specify –

2. How many stages are involved in selecting the candidate?

a. 1
b. 2
c. 3
d. 4
e. More

3. Do you use any of the following tests during the process of recruitment?
a. Written
b. Aptitude
c. Group Discussion
d. Personal Interview
e. Psychometric test
f. Other, pls specify

41
4. How do you track the source of candidate?
a. Manual
b. Software
c. Online
d. Windows. Xls

5. Apart from the HR Manager, who all from the other departments are required to get involved
in interviewing process?
a. Sales
b. Administration
c. HR Executives
d. Other, pls specify

6. What is the average time spent by sales dept. during recruitment (each candidate)?
a. 10mins.
b. 10 to 20mins.
c. 20 to 30mins.
d. More

7. What is the average time spent by HR dept. during recruitment (each candidate)?
a. 10mins.
b. 10 to 20mins.
c. 20 to 30mins.
d. More
8. What is the average time spent by Admin dept. during recruitment (each candidate)?
a. 10mins.
b. 10 to 20mins.
c. 20 to 30mins.
d. More

42
9. Do you follow different recruitment process for different grades of employees?
a. No
b. Yes

10. What is the back out percentage of candidates after being offered?
a.1-5
b.5-10
c.10-15
d. 15-20

11. What percentage of candidates leave within the period of less than1- 3 month?
a.1-5
b.5-10
c.10-15
d. 15-20

12. What percentage of candidates leave within the period of less than3- 6 month?
a.1-5
b.5-10
c.10-15
d. 15-20

13. What percentage of candidates leave within the period of less than 6-12 month?
a.1-5
b.5-10
c.10-15
d. 15-20
14. Does the company reimburse the traveling cost incurred by the candidate for appearing
in the interview?

43
a. Yes
b. No
c. Depends, how

15. What is the average cost of traveling that the company incurs on interviewers, if the
interview is in other city?

16. Do you take any technological support for the process of recruiting?
a. Telephone
b. Video conferencing
c. Online support
d. Other, pls specify –

17. Are you aware of the concept of “Video Resume”?

a. No
b. Yes, then do you use it – Yes/No

18. If the recruitment type is “Employee Referral” then what special privilege has to be paid to
the one who has referred?

19. In how much time does the whole process generates results?
(Time taken in the whole process i.e. from tests, personal interviews to final list of selected
candidates)

20. Do you do the “Employment Eligibility Verification”? Yes/No

If yes, then, what method you take up to perform it?
a. Internally
b. Through agencies

44
5.5 Bibliography
Books:
1. Decenzo, David A. et al, Human Resources Management, Published Singapore, 2005.
2. Flippo, Edwin B.; Personnel Management, McGraw Hill Book Company, America -
1996.
1. Gordon, E. & Natarajan, K., Banking:Theory, Law & Practice, Himalaya Publishing
House, Mumbai, 1996.
2. Monappa, Arun & Saiyadain, Mirza, Personnel Management, Tata McGraw Hill
Publishing Company Limited, 1999.
4. Human Resource Management in a Business Context, 3rd edition By Alan Price.
5. Helena Prokashani, Dhaka, 1997John M. Ivancevich, Human Resource Management,
Tata McGraw- Hill, 2004.
6. K Ashwathappa, (2004) Human Resource and Personnel Management, 3rd Edition. New
Delhi.
8. Robbin& Stephen P.; Fundamentals of Human Resource Management. John Wiley &
sons, 2002.
Others:
 Booklets published by AB Bank Ltd.
 AB Bank web site (www.abbanklimited.com)
 Prospectus of AB Bank limited.
 www.google.com

45