HUMAN RESOURCE PRACTICES OF NABIL BANK LIMITED

In partial fulfillment of the course requirements of

Human Resource Management

Submitted by

Group 6

Herambha Raj Shrestha

Nikita Gurung

Sanjay Adhikari

Sagar Karki

Submitted to

Mr. Riswo R. Gorkhali

Ace Institute of Management

MBAe, Term V, Section A

Contents

ACKNOWLEDGEMENT 2
CHAPTER 1 4
INTRODUCTION 4
1.1 Background of the study 4
1.2 Introduction of the company 4
1.3 Objective of the Study 5
1.4 Methodology 6
1.5 Limitation of the Study 6
CHAPTER 2 7
ORGANIZATIONAL DETAIL 7
2.1 Background of the organization Nabil Bank Nepal 7
2.2 Vision and Mission 7
2.3 Findings and Analysis 7
2.3.1 Human Resource Planning 7
2.3.2 Job Analysis and Design 9
2.3.3 Aspects of the job to be analyzed 10
2.3.4 Recruitment Selection and Socialization: 11
2.3.5 Training and Development: ‘ 12
2.3.6 Appraising & Managing Performance 13
2.3.7 Compensation Management 14
2.3.8 Employee Discipline 16
2.3.9 Labor relations, safety and health 17
2.3.10 Organization Structure 17
CHAPTER 3 19
SUMMARY AND CONCLUSION 19
Annexure 21
ACKNOWLEDGEMENT

We are highly indebted to Nabil Bank Limited for their guidance and constant supervision as
well as for providing necessary information regarding the project & also for their support in
completing the project.

We would like to express our gratitude towards our course instructor Mr. Riswo R Gorkhali and
his encouragement which helped us in completion of this project.

Our thanks and appreciation also goes to our colleagues in developing the project and people
who have willingly helped us out with their abilities.
CHAPTER 1

INTRODUCTION

1.1 Background of the study

This project report is prepared as assigned by our course instructor, Mr. Rishwo R. Gorkhali, in
partial fulfillment of the course objective to understand how organization undertakes its human
resource strategies and policies that help them achieve collective organization goals and long-
term objectives. Hence, the topic of the report is "Human Resource Management of “Nabil Bank
Limited’’, a leading A-class Commercial Bank.

Human resource management is the strategic approach to the effective management of

organization workers so that they help the business gain a competitive advantage, commonly
known as the HR Department, it is designed to maximize employee performance in service of an
employer's strategic objectives. The purpose of HRM is to increase the productivity of an
organization by optimizing the effectiveness of its employees. HR is primarily concerned with
the management of people within organizations, focusing on policies and on systems. HR
departments are responsible for overseeing employee-benefits design, employee recruitment,
training and development, performance appraisal, and rewarding (e.g., managing pay and benefit
systems.

1.2 Introduction of the company

Nabil Bank Limited is the nation’s first private sector bank, commencing its business since July
1984. Nabil was incorporated with the objective of extending international standard modern
banking services to various sectors of the society. Pursuing its objective, Nabil provides a full
range of commercial banking services through its 74 points of representation. In addition to this,
Nabil has a presence through over 1500 Nabil Remit agents throughout the nation.

Nabil, as a pioneer in introducing many innovative products and marketing concepts in the
domestic banking sector, represents a milestone in the banking history of Nepal as it started an
era of modern banking with customer satisfaction measured as a focal objective while doing
business. Operations of the bank including day-to-day operations and risk management are
managed by highly qualified and experienced management team. Bank is fully equipped with
modern technology which includes international standard banking software that supports the E-
channels and E-transactions.

Nabil is moving forward with a Mission to be “1st Choice Provider of Complete Financial
Solutions” for all its stakeholders; Customers, Shareholders, Regulators, Communities, and Staff.
Nabil is determined in delivering excellence to its stakeholders in an array of avenues, not just
one parameter like profitability or market share. It is reflected in its Brand Promise “Together
Ahead”.
1.3 Objective of the Study
Our motive was generally divided into two aspects:

General Objective

Partial fulfillment of the requirements for the degree of MBA is the general objective of this
project.

Specific Objective

● To understand the Human Resource practices followed at Nabil Bank Limited.

● To know Compensation Management practices of Nabil Bank
● To know the recruitment and selection processes in practice.
● To understand the practice of job description, job specification and job design/redesign.
● To understand the prevalent training and development activities that takes place.
● To gain insight on the Performance Management system.
● To know Labor Relations, Safety & Health practices of the company.
● To understand rules & regulations regarding Employee Discipline in practice.

1.4 Methodology
The study is both qualitative and quantitative in nature. We collected two types of data i.e.
primary and secondary.

Primary data: Primary data is information that one collects specifically for the purpose of own
research project. An advantage of primary data is that it is specifically tailored to our research
needs. The HR department personnel were generally responsible for conducting HR activities so
we interviewed some of the members from HR team. The data were collected based on the
questionnaire prepared by the group members. The questionnaire is mostly structured in nature
and contents that are relevant to the field of study.

Secondary data: Secondary data refers to data that was collected by someone else other than the
user some other purpose. Secondary source of data for the purpose of this report include the
articles published on the internet, LinkedIn profile as well as the website of the company.

1.5 Limitation of the Study

All group members were unable to visit the organization at the same time. The time frame was
limited for the interview as the business unit heads had a very busy schedule. The manager was
reluctant to provide all the answers due to company’s policy. We had to select one large sample
unit as the organization was segregated into different branches. The team members also had busy
work schedule as well as assignments for other subjects which were overlapping.
CHAPTER 2

ORGANIZATIONAL DETAIL
2.1 Background of the organization
Nabil Bank Limited had an authorized name Nepal Arab Bank Limited till 31stDecember 2001.
Nabil is the pioneer in commencing many new products and marketing concept in banking sector
of Nepal with 74 branches. Nabil endows with full range of services through its channels spread
across the country and reputed correspondent bank across the country and reputed correspondent
bank across the sphere. Achievement of Nabil is milestone in the banking history of Nepal it
paved the way for establishment of many profit-making banks and financial institutions. Nabil
has popularity in market for it does highly personalize service to its clients. Highly qualified and
experienced management team manages operations of the bank including day to day operations
and risk management. Bank is fully equipped with modern technology, which includes ATMs,
credit cards, state-of-art, world renowned software from infuses Technologies System, Internet
banking system and Tele-banking system.

Today Nabil bank has turn out to be a boss in terms of bringing the very best global standard
banking practices, products and services to the kingdom. Presently, it is operating with a mission
to be bank of first preference to its stakeholders; first preference to its customers in meeting their
financial needs; first choice for its shareholders to do the investment; for regulators, it wants to
be an instance of model bank; for the public it works, it want to become an exceptional corporate
citizen; and finally it target to be the first preference to be the employer with whom to construct a
career.

2.2 Mission and Values

Nabil Bank Limited is moving forward to be “1st choice service provider of complete financial
solutions” for all its stakeholders. Nabil is determined to delivering excellence to its stakeholders
in an array of avenues, not just like parameters of profitability and market shares. It is reflected
in their Brand promise “Your Bank at Your Service”. Entire Nabil Bank team embraces the set
of values named C.R.I.S.P which stands for:

● Customer focused
● Innovative
● Synergistic Team
● Professional
● Result Oriented
2.3 Findings and Analysis

2.3.1 Human Resource Planning

Human Resource planning is associated with a process that identifies current and future human
resources needs for an organization to achieve its goals. The company has ensured positioning of
the right people in the right places so that their distinct competencies, knowledge and personality
attribute are utilized to their maximum potential resulting in desirable results.

As HRP is the process of forecasting the future human resources requirements of the
organization which determines as to how the existing human resource capacity of the
organization can be utilized in order to fulfill it's requirements-thus Nabil conducts the HRP
annually and in continuous basis in order to provide effective and efficient management of
existing employees of the company.

Nabil performs four simple steps in order to realize the HR planning process:

a) Current HR positioning and availability

The foremost step in HR planning is associated with the assessment of the current
human resource availability. This step includes the comprehensive study of the
human resource and their capabilities in terms of number, skills, qualifications,
experience, age, performance ratings and the relevant compensation.

The organization structure at Nabil comprises of several business units such as

Communications, Investment Management, Accelerator Program and Finance &
Monitoring. The heads of these business unit are responsible to assess the current
availability of their unit. At the end of every year, the Director along with the
business unit head sits together to plan on the strategy and goals for the coming
year. Based on the plan communicated, the head of each unit is required to
determine the HR requirement.
b) Future HR Demand
The second step in HR planning comprises of analysis of future workforce
requirements of the business. All the known HR variables like attrition,
foreseeable vacancies, promotions are taken into consideration while determining
the future HR demand. In addition to that, certain unknown workforce variables
like abrupt resignations or dismissal.
At Nabil, based on the strategic year plan, the business unit heads are required to
document the jobs that are needed to be done to attain the goal. Likewise, the
number of employees required is also predetermined as per the timeline of the
activities to be conducted.
 c) Demand Forecast
Under this step, it is crucial to understand the business strategy and the objectives
so that the demand is aligned with the strategic goals. The head of each business
unit takes into consideration all the activity to be carried out in a year, such as
Fundraising events, Investor meet, Investment Proposal, Applicants decision for
the Accelerator program, Reporting of the investee companies, Legal procedure to
execute the Foreign Direct Investment. Based on these activities and the
respective timelines to execute such activity, the employee demand is forecasted.
Normally, the capacity and the forecasting of HR is entirely dependent upon
managerial judgement.

d) HR Sourcing Strategy and Implementation

The business unit heads plans to meet the gap as per the demand forecast after
reviewing the gaps in the available employee (internal supply) and demand.
Under this step, it basically includes recruitment and outsourcing, training and
coaching and relocation of the employees. In order to make the process of
execution smooth, the business unit heads communicates the HR requirement to
all the employees and recruitment agencies are contacted as well at the same time.
The head of each business unit are responsible to screening and finalizing of the
candidates. Nabil ensures that all the process is carried out in compliance to the
Nepalese law with a motive to maintain an effective working environment within
the company.

The following is the details of total number of staffs in Nabil Banks.

2.3.2 Job Analysis and Design

Job Analysis is the process to identify and determine in detail the particular job duties and
requirements and the relevant importance of these duties for a given job. HR planning is done on
an annual basis, the business unit heads spends time to analyze the job.

Nabil also have a job analysis process whereby each employees are required to provide the Key
Responsibilities Area (KRAs). The respective supervisor are required to give input in the case of
the subordinate as well.

Employees argue that jobs in the Bank are challenging and will remain challenging in the future.
The belief system of the bank management is that, if they can utilize the capacity of employees,
they can get opportunities in the market. Every employee feels that his or her job is challenging
for their future. He or she never left office room without any job related reason. Very few
barriers prevail to job performance. Employees feel that the present job leads to a desirable
future. It means they have very high growth needs and less dissatisfied with the present pay
level. The overall quality of work life on job related matters, such as job variety, difficulty,
challenges, pay and allowances, is moderately satisfactory.

The company combines two different methods for the purpose of performing job analysis-

a) Job Holder reporting: One of the ways whereby the job analysis process is executed is
through providing an opportunity to all the job holders to describe their KRAs. On a
annual basis, the employees are required to document their Key Responsibility Areas and
at the same time the targets are set by the immediate supervisor. These targets are then
evaluated at the end of the year as a step for performance appraisal.
b) Line Manager Reporting:When the employees are given the opportunity to list down
their tasks, they might exaggerate their duties. In order to verify this, the reports
submitted by the employees are then reviewed by the respective line managers. This
process is executed with a motive to identify any deviation from actual job. The line
managers are also required to document their KRAs and the target which they think is
vital for their job. These documents are then reviewed by the higher authority.

2.3.3 Aspects of the job to be analyzed

a) Requirements
By term requirements, it is associated with the knowledge, skills and abilities (KSA’s)
that are required to perform the job. While an employee may have higher KSA’s than
those required for the job, a Job Analysis typically only states the minimum requirements
to perform the job.
 b) Tasks
The duties and tasks that are assigned to each employees are analyzed. When the duties
and tasks are being analyzed several information are included such as duration, effort,
complexity of the job and the skills required to implement it. In addition to this, at Nabil,
since the operations relies on its Accelerator program along with the fundraising
activities, the timeline is crucial and is required to align with the duties.
c) Environment
The working environment can have a significant impact on the physical requirements to
be able to perform the job. It usually includes whether the individual have to deal with
several investors, institutions or visit external markets or work at office.
d) Activities and Events
Nabil organizes an program on Business Status Update program on a semi annual basis
where concerned business head, department heads, branch managers should present their
status of the business and their future plan to achieve their targets and excel more.The
team is required to monitor the company’s finances, analyze its performance and report it
to the investors. Such activities, which may not be routine requires the analysis of
activities and events as one of the aspect of job to be analyzed.

2.3.4 Recruitment Selection and Socialization:

Nabil Bank aims to identify highly skilled and extremely motivated staffs which makes their
recruitment process rigorous. Usually, the company publishes the vacancy announcement for
related position through Recruitment agencies. However, if the position can be filled by an
existent staff then the staff is trained and guided and promoted to the vacant position.

At Nabil, the recruitment process starts both internally and externally:

● Internally, the vacant position is filled by promoting the existing employees

● Externally, vacancy is posted through different HR agencies such as Merojob, Real
Solutions etc.

Internal Hiring
After the completion of appraisal evaluation of the employees in the month of Shrawan,
internal vacancy is published for various positions like Officer (O1), Officer (O2),
Manager (M1), and Manager (M2) etc and vacancy is communicated through national
circular. The written examination followed by interview is taken for the promotion level
from assistant to officer (O1) and Officer to Manager (M1) and for Other positions only
interview is taken. Human resources Department takes the sole responsibility to take the
examination and conduct the interviews. This vacancy provides the employees to grow
within the organisation and motivates them to work hard.

External Hiring
When it comes to recruiting externally, the initial screening is normally carried out by
HR agencies where the candidates who fulfill the given criteria will be downsized. The
responsibility of shortlisting the qualified candidates lies with the agency in coordination
with the HR department who are further facilitated for written examination conducted by
Nabil Bank. And Final Shortlisted candidates through written examination is called for
interview.

Right after the interview of the applicants, where the applicant are normally judged on
the basis of their experience and communication skills, they are contacted through email
or phone call to inform about their selection and the job that is being offered to them. The
selected candidates are provided with offer letter along with the necessary documents to
be filled up by new recruits. The offer letter includes the salary scale, training period,
benefits, leave and so on. The applicant are asked if they would accept the offer and if
they accept the offer, date of their tentative joining is taken. And all the documentation,
appointment letter is provided to the candidates who accept the offer letter . After the
selected candidate joins the company, relevant introduction on the basic policies,
activities of the company and the business unit is communicated to the employee. On the
job training is provided for couple of week to make the employee familiar with the basic
format used, how things work and what is expected of them is communicated to the
employee.

Nabil also conducts various programs and events to enable personal interaction within the
employees. The company organizes annual picnics for proper socialization process. A
monthly team meeting is organized where the employees from each business unit interact
on what goals were achieved in the past month and what will be their plan for the coming
month and how it aligns with the company’s goals. It is also a platform to let employees
express what they think can be done to improve the working environment, tasks and the
relationship with the various stakeholders and investors.

Similarly, whenever a new member joins the organization, a orientation program is

organized. At the end of each year, the company organizes an outing event where the
employee gets change to refresh and socialise with each other. Such outing event will
also help in boosting staff morale, strengthen teamwork and let them feel connected with
the company’s vision. Furthermore, in house events are also organized such as Nabil
anniversary, Teej etc.
2.3.5 Training and Development:

The training and development program helps to smooth operation of the company by creating a
professional atmosphere by hiring and recruiting able manpower for training and placement and
managerial with already existing employees. Training and development constitute an ongoing
process in any organization.

As per the recent Regulations directed by Nepal Rastra Bank, commercial Bank should invest the
three percent of its total profit in the training and development of the employees. As per our
research we found that Nabil bank has been making expenses of the three percentage of the total
profit in the Training and development of the employees which shows that Nabil bank has been
constantly focusing in the training and developing programs. As per our research, we found that
there is no separate learning and development department which would estimate the training
need assessment, training gap analysis. Officer, Human Resources takes the sole responsibility
to ensure the adequate training and development programs of the employees. However training
and development is in the priority of the Human Resources Department as they have been
making expenses of three percent before the policy implemented by the Nepal Rastra Bank. The
training Budget for this Fiscal year 2075-76 is 42.63 Million. Thus, training and development of
employees is not an option, it is intrinsic part of the practice of HRM.

Normally, Nabil has both on the job training and off the job training:

a) On the job: Usually when the new recruit are hired in the bank, they are first placed for
the on the job training in the various departments within head office and its branches
where the new hires learn the actual learning procedures and be competent enough to
handle customers in the and the responsibility assigned to them in their respective
placements. Rotations in various departments is done during on the job
training.Immediate supervisors supervises them in their on the job trainings. Depending
upon the need of the various skills to perform the job, old staffs are also kept in the on the
job trainings for few weeks to provide them an opportunity to learn about the job and
excel in the job.The company also conducts and organizes in house trainings according to
the need of the employees. Various inhouse trainings are also organised, where the staffs
within the organisation which has expertise and experience provides trainings

b) Off the job: Various trainings are also conducted outside the company. Various training
agencies regularly organises both calendar and inhouse trainings. HR department
coordinates with various training agencies which provides regular training on the core
jobs, soft skills, etcs. And bank nominates the employees as per the recommendation of
 the supervisors if the training is of their need to the employees. The head of each business
unit keeps themselves informed regarding the trainings that are informed by the HR
department. Such trainings enables information sharing among employees and is
knowledgeable to employees which helps in them to growth within the organisation.

2.3.6 Appraising & Managing Performance

Performance management is a process by which managers and employees work together to plan,
monitor and review an employee’s work objectives and overall contribution to the organization.
More than just an annual performance review, performance management is the continuous
process of setting objectives, assessing progress and providing on-going coaching and feedback
to ensure that employees are meeting their objectives and career goals. It is a process of
evaluating an employee’s performance during the preceding years and deciding where does an
individual stand as far as their peers are concerned.

Performance management system has become essential in every companies. Especially at Nabil,
since their operations strive in to manage risk for the investors, execute promotional activities to
attract companies to apply and execute successful deals for the investment, performance
management has been crucial. This system designs a platform to reward excellence by
associating individual accomplishment of employees with organizational vision and missions.
This system enables the people within the organization to be appreciated for their specific job
with identified results.

While conducting the research, it was found that Nabil’s team is quite familiar with the
performance management system that is in practice. Key Performance Indicators are evaluated in
the performance evaluation. We observed that the employees are dedicated towards their
development and provide the required amount of effort to work towards the shared objectives.
The performance management system is carried out by the concerned supervisors on a annual
basis to review what have been achieved and to appraise the performance accordingly.

These processes of performance review are initialized in the month of August of every year
though tactfully prepared appraisal system in the Human Resource Management System Online.
The appraisal form allows the subordinate to state their Key Job Responsibility and secondary
jobs to be performed side by side and achievements in the year, on the basis of which the job
analysis is done and also provide them room to state activities that an individual have performed
apart from their KRAs. Employees have to initiate the appraisal stating Key Job Responsibility
and secondary jobs to be performed side by side and achievements in the year, and forward it to
their immediate supervisor. Then the appraisal goes to the concerned immediate supervisors for
evaluation and supervisor assign marks as per the headings in the appraisal form and immediate
supervisors forward the appraisal to supervisor for ratings based on his/her performance. After
that the appraisal goes to the review committee where they give the final rating.
Employees can disagree the rating given by supervisor if the rating is not satisfying as per
performance and discuss with supervisor. If disagreement is not solved, review committees
rating will be final. The rating is given in the criteria of average for below 60 points, good for
point between 60 and 70, very good for points between 70 and 80 and Excellent for the Points
above 80. Similarly, certain amount is increased in the basic salary based on grades/rating
employees have obtained in the appraisal.The results obtained from the appraisal evaluation also
contributes to decide whether or not the employee is eligible for promotion.

Criteria

2.3.7 Compensation Management

Compensation refers to all the financial rewards received by the employees. It arises from
employment. It occupies an important place to the life of the employee. It is the cost to the
employer. Compensation Management consists of designing a cost effective pay structure that
will attract, retain and motivate the competent employees. It should be paid perceived as fair by
the employees. Compensation systems should balance organization’s ability to pay with
employee satisfaction.

Nabil Bank is the organization where salary revision is done through Collective Bargaining.
Salaries and allowance of directors would be as per specifications in the Technical Services
Agreement of the Bank. Although the Bank has a basic pay rate for employee, the individual pay
level of an employee may differ significantly due to its systems of performance related increment
system. In principle, the salary of an individual employee is confidential. Normally, the pay level
of an employee is higher compared to other banks. In addition to their pay levels, employee
receive bonus as per rules of Commercial Bank Act. There are provisions such as medical
allowance, insurance, group insurance, accident insurance, allowance for children's education,
transportation benefits and Provident fund, gratuity. In addition, employee are getting a house
lone equal to the gross salary of 152 months. The maximum limit of house loan is 10.1 Million
rupees. As per profit and loss account of the Bank, total personnel expenditure was 840 million
rupees in the year 2074-75. Normally, employees are getting competitive salary and allowances
similar to the counterpart banks.
Following are the type of compensation that are paid to employees:

A. Cash compensation
The monthly salary ensures the salary as per the labor law 2074. On the 20th of every
month in Nepali Calendar, salary is credited to staff’s account
B. Paid Leave
At Nabil, various categories of leave facilities are provided to the staffs. The categories
for public holiday allowed are mentioned below. In case the leaves are not utilized by the
staff, leave encashment is provided.

No of
days Month Occasion
1 January New Year Day
1 February Mahashivaratri
1 March Holi
1 April Nepali New Year
Septembe
1 r Gathasthapana (Dashain)
5 October Dashain Holiday
3 Tihar Holiday
1 December Christmas
14 Total

Similarly the employees of Nabil have the facility of following leave category:

S.No Leave Types Days

1 Casual Leave 12

2 Sick Leave 12

3 Annual Leave 28

4 Maternity Leave 60 days paid plus 30 days if needed

5 Paternity Leave 15
 6 Bereavement 15 days
Leave

7 Substitute Leave For staffs working more than 5 hrs in

holidays

C. Substitute Leave
Employees at Nabil may be required to work on weekends especially during quarter ends
and excessive workloads. For such cases, they can take substitute leaves. Employees can
accumulate these leaves up to seven days in a year.
D. Leave Fare Allowances
Employees in their annual leaves are provided with the one months first basic salary of
current psition.To get the Leave fare allowance, employees need to take 13 days annual
leave.
E. Transportation Facility
For office related visits, employees can hire vehicle. This facility is applicable for all the
employees. In addition to that a monthly allowance of Rs. 2000 is also provided.
Manager level staffs are also provided staff vehicle facility and fuel for their vehicle.
Further, one time airfare facility which includes two way tickets to staffs of outside
valley branches which is 300 Km away from Kathmandu is provided.

F. Bonus and Welfare

Depending upon the performance of bank, bonus is paid as per commercial bank act. and
Welfare is also provided to the staffs who get bonus as decided by the welfare committee
of the bank.

G. Insurance
There are provisions such as medical allowance, insurance, life insurance, accident
insurance, of the staffs with different insurance limit coverage as per their position in the
bank.

F. Other Staff Facilities

S.N. Position Lif Me Accidental Insurance

e dic
Ins al
ura Ins
nce ura
 nce

Limit
Li Li (In NPR)
mit mit
(In (In
NP NP
R) R)

1 CEO

2 General
Manager 650 100
,00 ,00
0.0 0.0
0 0 3,000,000.00

3 Deputy
General 650 100
Manager ,00 ,00
0.0 0.0
0 0 3,000,000.00

4 Assistant
General 500 100
Manager ,00 ,00
0.0 0.0
0 0 3,000,000.00

5 Senior
Manager 450 100
,00 ,00
0.0 0.0
0 0 3,000,000.00

6 Manager
400 100
,00 ,00
0.0 0.0
0 0 3,000,000.00
7 Deputy
Manager 350 100
,00 ,00
0.0 0.0
0 0 3,000,000.00

8 Assistant
Manager 300 100
,00 ,00
0.0 0.0
0 0 2,500,000.00

9 Senior
Officer 250 100
,00 ,00
0.0 0.0
0 0 2,000,000.00

10 Officer
200 100
,00 ,00
0.0 0.0
0 0 2,000,000.00

11 Manage
ment 200 100
Trainee ,00 ,00
0.0 0.0
0 0 1,500,000.00

12 Supervis
or 150 100
,00 ,00
0.0 0.0
0 0 1,500,000.00

13 Senior
Assistant 150 100
,00 ,00
0.0 0.0
0 0 1,500,000.00
 14 Assistant
150 100
,00 ,00
0.0 0.0
0 0 1,500,000.00

15 Driver
100 100
,00 ,00
0.0 0.0
0 0 1,000,000.00

16 Security
Guard 100 100
,00 ,00
0.0 0.0
0 0 1,000,000.00

17 Messeng
er 100 100
,00 ,00
0.0 0.0
0 0 1,000,000.00
H. Allowances
Various allowances like Traveling and diem allowances, Uniform allowances to staffs
except managerial level, remote and outstation allowances as per their branch location,
key, teller, atm custodian allowances, hardship and overtime are provided as per their
responsibility and nature of job.

2.3.8 Employee Discipline

Employee discipline is the essence of effective human resource management. No organization

can be effective without discipline at all levels of employees. Discipline regulates the behavior of
employees. It is a necessary condition of orderly behavior. Discipline implies orderliness. It
means adherence to rules, regulations, procedures and standards of acceptable behavior to
achieve goals.

When employees willingly conform to rules and standards of acceptable behavior, discipline is
said to be good. It is said to be bad when employees follow rules and standards of acceptable
behavior unwillingly or disobey them. However, disciplinary actions are needed for
undisciplined employees to ensure orderly behavior.
Discipline is one of the important concern for Nabil. There are various determinants that
determine the disciplinary action to be taken against employees. The management takes action
against Sharing confidential information, working for a competitor, not abiding by the policies of
the organization.

The basic disciplinary requirement includes:

● Employees have to arrive 9 :30 am sharp in the morning.

● High level of ethics and integrity
● High level of team work and respect for subordinates and supervisor
● Encouragement in taking leads
Based on our research, we found that the employees who violates the disciplinary rules are given
caution letter. The Transfer of the employees of the other branches and department is also done if
necessary.

2.3.9 Labor relations, safety and health

Since 1990 employee have formed a union which is working in co-optation with the bank's
management. Pressure to management, threatening, strike has occurred in the Bank till date. One
of the main reasons of such relation between management and union is that there is no barrier of
inter and intra departmental communication and information. Any employee can ventilate his or
her grievance directly to the line manager or the GM or the ED without any complication.
Management is always ready to listen employee's problems without any prejudice or bias. The
union is completely non-political and just works for the welfare of the employees and the Bank

Labor Union is very influential in the decision making of policies. The committees relating to
health and safety facilities is formed to ensure proper health and safety to staff of Nabil. Labour
Union is very strong and gives pressure to the management if the employees rights is dominated,
surpassed.

Labour relations are the outgrowth of industrialization. Traditionally, they were concerned with
the relations that existed between employer and labour. They were looked upon as a fire fighting
function to resolve labour disputes. Labour relations in the modern sense are a dynamic concept.
They are concerned with managing inter-relationships among the three major temas:

● Workers, represented by trade unions.

● Employers, represented by employers associations.
● Society, represented by the government and various pressure groups.
2.3.10 Organization Structure

Organizational structure is a major priority in implementing a carefully formulated strategy.

Research on the linkage between corporate strategy, organization structure, and performance has
a long history.

The implementation of organization structure is of main concern at Nabil Bank. Recently the
new structure has been updated where business unit such as Business banking, Branch Banking,
regional offices,Liability task force has been updated in the structure. The current structure of
Nabil Bank is as follows.
CHAPTER 3

SUMMARY AND CONCLUSION

The main objective of our field work is to know various HR practices of NABIL Bank. For this
purpose, we have evaluated HR practices and policies according to the course outline of Human
Resource department where we overall viewpoint of each and every chapter and sub chapters.
Finally, this field assessment brought conclusion on different HR Practices and Policies of
organization.

Nabil, the first foreign joint venture bank of Nepal, started operations in July 7, 1984. Nabil was
incorporated with the objective of extending international standard modern banking services to
various sectors of the society. Nabil provides a range of commercial banking services through its
51 points of representation across the country and over 170 correspondent banks across the
globe. It was earlier known as Nepal Arab Bank Ltd. It has its head office located at Nabil
Center, Durbar marg, which is also a premium location of the capital.

As per our discussion with the HR Personnel and employees there is specific HR department in
the Nabil but the HR responsibilities and duties are also held accountable to the respective
department heads and as well as their planning and recruitment.

Besides that the department heads are required to carry out of the task of job analysis. They have
two approaches; employee reporting the Key Responsibility areas and supervisor making sure
the employees has not exaggerated their assigned task and submitting the report to their
department-heads.

The recruitment is done through the agencies or if the existing resource is capable then further
training is given. If it is done through externally the shortlisting is done by the agencies and
further written examinations and interview is conducted by Nabil Bank to hire the best among
the pools of candidate.

After recruitment recruits are given training, training can be on the job or off the job. Foreign
consultants are also hired with the purpose of providing the international exposure to their
employees.

Performance management is crucial in every organization, the same in Nabil Bank. Employees
are appraised annually as per their targets by each of the departmental heads. The employees are
motivated to work for since it is for their own development aligned with the organizational
success.

As per the discussion with the employees the compensation and benefits are better than the
industry standard and the employee seems quite satisfied with the pay and benefits they are
receiving.

After the through discussion and with the help of questionnaire we concluded that the employees
are satisfied with the pay and benefits as well as their jobs and seems directed to the goal
achievements. After the through discussion and with the help of questionnaire we concluded that
the need of HR department is inevitable if the organization seeks further expansion: it would
boost the department heads to devote their time in other productive work. Employees are
satisfied with the pay and benefits as well as their jobs.
RECOMMENDATION AND SUGGESTION

Though the motivation appraisal provided by Nabil is good, but there are still major, if applied
can bring better results for Nabil Bank Limited they are as follows-:

1. Learning and development should be formed as a wing of the HR Department.

We found the one staffs takes the sole responsibility of the training and development of
the bank. The Training is not given of much importance as one person has also other
responsibility to perform.

2. It is necessary to ensure that the training program for which the employees is being
sponsored is likely to be of great use and its should include performance appraisal
reports, periodic training need, manpower plans and promotional decisions.
3. Increase HR strength
We found that the HR strength is limited to only eight people where three employees
have recently joined the department. The Workload is extremely high and which have
affected the overall HR performance. Thus More manpower should be recruited in the
Department for smooth functioning.

Employee relation is an indicator of sound position any organization therefore the

management of Nabil bank limited should maintain the good employee relation.
Annexure

Group Leader : Sanjay Adhikari

Member Information

Group Members

Name: Nikita Gurung

Organization: NABIL Bank Pvt. Ltd

Name: Sanjay Adhikari

Organization: Subisu Pvt. Ltd.

Name: Herambha Raj Shrestha

Organization: Nabil Bank Ltd.

Name: Sagar Karki

Organization: Empire Restaurant & lounge

References

https://www.nabilbank.com/

https://www.nabilbank.com/index.php/newsandnotices/notice

https://edukrn.blogspot.com/2017/05/motivational-factor-analysis-of-nabil.html

Appendixs

Questionnaires

1. Human Resource Planning

a. How does Nabil plan for demand and supply related to HR and demand for HR need
forecasted?

b. What techniques are used in analyzing and forecasting HR needs?

c. What is the staff turnover rate?

d. How often is HR planning done ?

2. Job Analysis & Design

a. What are the methods for collecting job analysis information?

b. Is job analysis process followed at Nabil?

c. Is there job description and job specification for all the positions at Nabil?

d. How and is JD and JS finalized at Nabil?

3. Recruitment, Selection & Socialization

a. What is recruitment process at Nabil?

b. What are the mode of vacancy?

c. What is the process to recruit employees for higher level recruited?

d. What is the post hiring process?

e. What is the procedure when employees resign?

f. Is succession planning done? If yes how?

4. Training & Development

a. What are the provision for on the job trainings?

b. How often off the job trainings are organized for staffs?

c. Are training and development programs conducted consulting with trainee?

d. Are trainee’s feedbacks taken?

5. Appraising & Managing Performance

a. What are the techniques for performance appraisal?

b. How many times staff’s performance appraisal system is conducted?

c. What are the steps to retain unsatisfied staff?

6. Compensation Management

a. How is compensation managed ata Nabil?

b. Is the compensation policy applicable to all levels of staff?

c. What are the major determinants of compensation?

7. Employee Discipline

a. Are there any cases of disciplinary actions taken against any staff?

b. What kind of actions of staffs leads to disciplinary actions being taken by the management?

c. What are the steps taken for disciplinary actions?

d. Few examples of disciplinary actions that may be taken at Nabil.

8. Labor Relations, Safety & Health

a. What are the health and safety facilities provided to staff of Nabil?

b. Is there any Labor Union formed in Nabil.

9. Organization Structure, Managing Strategic Organizational Renewal

a. Is the structure of the organization followed strictly?

b. Is there any organizational structure options which helps to run the organization more
effectively?

c. Being the medium size company, has the organization structure being updated?