Title: Human Resource Management (HRM) Practices of the Electricity Sector in Bangladesh.

1.Abstract

The main purpose of the study is to examine the Human Resource Management practices of the
Electricity Sector in Bangladesh considering the recruitment, training, and promotion practices.
The another objective is to explore the challenges in training practices facing and to give some
suggestions of improving H.R. practices. The Study uses a descriptive survey research design.
From the target population, the study selected a sample of 30, and collected data through
questionnaire. For data analysis, the research has been conducted using qualitative methods. The
study has found out that there is a standard H.R. practice existing in the electricity sector. An
improved H.R. management is practiced in the Electricity sector; some lack in the promotion and
payment process that should be solved to achieve the organization's ultimate goal. the mean of
agree is about 5 times higher than not agree, so it is clear that the respondents are satisfied with
HR management service. There is a minor limitations of the research that the number of
respondents as a sample could be increased a much-more-reliable finding could be reached. The
study is hoped to be practically useful to Electricity sector by making the management
understand the importance of implementing Human Resource Management Systems. It is
original survey data based research and it is reliable in practical sense of implementation as my
knowledge. This study is original with respect to the specific sector with few studies focused
previously.

Keywords: HRM, employee engagement, H.R. Policies, training, Electricity etc.

1.1 Introduction

The utility electricity sector in Bangladesh has one national grid with an installed capacity of
25,700 MW as of July 2022. Bangladesh's energy sector is booming. However, per capita energy
consumption in Bangladesh is considered low. Electricity was introduced to the country on 7th
of December, 1901 under British rule.

Electricity is the major source of power for most of the country's economic activities.
Bangladesh's total installed electricity generation capacity (including captive power) is 25,700
MW. It was 15,351 megawatts (MW) as of January 2017 and 20,000 megawatts in 2018.
The largest energy consumers in Bangladesh are industries and the residential sector, followed
by the commercial and agricultural sectors.

Bangladesh will need an estimated 34,000 MW of power by 2030 to sustain its economic growth
of over 7 percent.

Problems in Bangladesh's electric power sector include high system losses, delays in completion
of new plants, low plant efficiency, erratic power supply, electricity theft, blackouts, and
shortages of funds for power plant maintenance. Overall, the country's generation plants have
been unable to meet system demand over the past decade.

On the 2nd of November, 2014, electricity was restored after a day-long nationwide blackout. A
transmission line from India had failed, which "led to a cascade of failures throughout the
national power grid," and criticism of "old grid infrastructure and poor management." However,
in a recent root-cause analysis report the investigating team has clarified that the fault was
actually due to lack of coordination and poor health of transmission and distribution
infrastructure that caused the blackout. Bangladesh's energy infrastructure is relatively small,
insufficient, and poorly managed. The per capita energy consumption in Bangladesh is one of the
lowest (321 KWH) worldwide. Noncommercial energy sources, such as wood fuel, animal
waste, and crop residues, are estimated to account for over half of their energy consumption. In
Bangladesh's electric power sector, problems include corruption in the administration, high
system losses, poor HRM practice and delays in completion of new plants, low plant efficiencies,
erratic power supply, electricity theft, blackouts, and shortages of funds for power plant
maintenance. Overall, the country's generation plants have been unable to meet system demand
over the past decade.

On 4 October 2022, 70–80% of the country's 168 million residence were hit with blackouts and
only 45% of residences were restored with power by nightfall. There was a shortage of natural
gas because of the 2021–present global energy crisis where 77 natural gas power plants had
insufficient fuel to meet demand. The electricity sector in Bangladesh is heavily reliant on
natural gas. The government stopped buying spot price liquefied natural gas in June 2022; they
were importing 30% of their LNG on the spot market this year down from 40% last year. They
are still importing LNG on futures exchange markets.
1.2 Definition of HRM

1.3 HRM practices at electricity sector in Bangladesh

At first Bangladesh Power Development Board (BPDB) generated transmit and distribute power.
In 1996, the Bangladesh government developed National Energy Policy and segregated power
generation, transmission, and distribution functions into separate services. BPDB distributes
power to mainly the urban areas except for the metropolitan city of Dhaka. Dhaka Electric
Supply Authority (DESA) is charging the responsibility of distributing power in Dhaka. Later,
DESA is criticized due to some controversial issues and corruption. As a result, the government
created a new subsidiary named Dhaka Electric Supply Company Ltd. (DESCO). A well-planned
and organized rural electrification plan did not exist till the 1970s. One of our significant earning
sources is agriculture, and electricity is essential for power supply effectively.

In Bangladesh, the supply is much lower than the power demand, so the necessity was felt to
generate more power. Government-owned power plants are not enough to fulfill the power
demand of the people of the country. But, additional generation capacity required massive
investment, so the government considers mobilizing finance by attracting the private sector in
power generation and, more importantly, to increase power supply to lessen the shortage.

Categories of Staff: There will be the following categories of staff.

Regular Employees: Employees who are doing the job as stable and permanent and the employee
shall remain in employment until either superannuation from the services on the attainment of
superannuation age or termination/resignation from services before the triumph of
superannuation.
Contract Employees: "Contract Employee" denotes any people with the required knowledge,
technical experience, and particular competencies necessary to carry out the duties of the job for
a fixed period as restricted within specific terms and conditions laid down in his/her contract.
The employment in such cases will terminate on the contract's expiry period unless a further
extension of the job.

All regular employees must be appointed through an appointment order, which must be signed
and approved by the respective appropriate Authority. The appointment order must include the
following information.

 Date of start of services

 Details about Designation and Grade
 Full salary includes reference to all issues of pay and deductions thereof.
 General guidelines on code of conduct
 Probation period
 Assessment and confirmation cycle
 Bonus and Increment
 Place of posting and work timings
 Secrecy Training Needs Assessment

This review of the training and development needs is based upon the following review, data,
analysis, and research:

 A review of the proposed organizational structure

 The staffing plan
 Roles and functions
 Review of the various training institutions under BPDB

Critical Issues with the Current Training Regime: Now the following training programs are
governed and administered by BPDB:
 High Technical Orientation - The programs executed at the different training institutes under
PDB has a very high technical orientation. But there is a lacking to improve management
skill because all employees are not given opportunities to such training,

Quality of Course Content – There is no existing method to check either the course content's
quality or the quality of delivery of the course.

Training a Reward or Privilege - BPDB has considered training as a reward or privilege

granted indiscriminately to assert power or position. Staff is frequently sent on training
programs where their experience and role have no relevance to the area of training provided.
It's a negative issue for the power sector in case of settlement of training.

Knowledge Capture – When the training has been approved, there has been no coordinated
approach to capture that learning by the BPDB. Unless each individual has used his/her
initiative to spread the knowledge obtained, the experience gets lost with the participant
finishing his/her course. There is no organized system of know-how available to all staff for
reference.

Post-Training Application – When new skills are acquired, there is no clear strategy to make
specific training skills experienced and enhanced. In many cases, the staff does not have the
opportunity to put training into effect at the local offices either because of being short of
proper facilities or lacking initiative.

Contractual Literature Review

Topics Author Country Method Year Variables Sample Remarks

SL size
the impact of Abu a mixed dependent
training & Bakar, research variable is
development Tafida method employee job positive &
on employee Jibril, Nigeria (both 2020 enrichment significant
01 job NUHU qualitative & and 331
 enrichment. and quantitative) independent
Tukur variable is
Ibrahim training &
. development.
employee Anoop dependent
engagement Kumar, variable is
on the Shikha organizational
determinants Kapoor India quantitative 2022 happiness significant
02 of and research and
organizationa Vani independent
l happiness. Narula. variable is
employee
engagement.

1.4 Literature Review

Employees play a significant role in getting the competitive advantage in service-oriented

organizations (Brill and Konar, 2004). Besides, a commitment performance approach views
employees as resources or assets and values their voice. Employee performance is the tool of
measurement of organizational performance. Employee performance is originally what an
employee does or does not do. Employees' performance could include a quantity of output,
quality of output, timeliness of production, presence at work, and cooperativeness (Rousseau,
2004). Human Resources are the biggest and most valuable asset and tools of overall
development, efficiency, and effectiveness in any organization irrespective of the companies'
sizes. Good and proper usage of these resources leads to the organization's technological,
economic, and ecological development. The present global corporate governance scenario
assigns the highest level of significance to the organization's human resources or human
capital. The nature and needs of the local labor market are stronger predictors of the transfer
of HR practices than those factors identified in extant international human resource
management frameworks, such as institutional and cultural distance, Mohan Pyari Maharjan
& Tomoki Sekiguchi ,2016. The contingency perspective on human resource management
(HRM) advocates that HRM practices fit the internal or external situation of the organization.
The results show two sets of HRM practices relating to the major organizational changes in
the five companies, that is, reorganization and downsizing, (Sabine Raeder,2019.) The
findings of the study showed significant effects of GHRM practices, i.e. (training and
development, performance appraisal, and reward and compensation), on Organizational
Sustainability, ( Fiza Amjad, et.,al, 2021) Akio Morita, the founder of Sony Corporation, the
leading electronics giant of the world, once remarked, "There is no 'magic' in Japanese
companies' success in general and Sony in particular. The secret of their success is simply the
way they treat their employees. (Akio Morita, 1986) Not only the 'Japanese companies but
the companies worldwide have realized the importance of human resource practices,
popularly known as HRM. Human resource practices are found in every organization, but
their significance lies in their proper use and management. Now China is the fastest growing
economy Human Resource Management (HRM) Practices of the Electricity Sector in
Bangladesh International Journal of Managerial Studies and Research (IJMSR) Page | 3 in
the world. However, it is the most populous nation in the world. The primary reason for
Chinese dominance in global business is the large investment made in human resources and
their management. (J. Phillip, 1998.) The design of the human resources information systems
supports in assessing the value of the human resources fiscally and contributes to planning
these resources on the economic unit, as well as the national one through the contribution in
drawing the labor and employment policies and the other supported policies like migration,
payments, promotions, and motives in a scientific way (Dessler, 2005). Human resource
management is the new enhanced version of the traditional term 'personnel' management.
The conventional dictum of personnel administration or management was more concerned
with the enforcement of rules and regulations. It was affected by more hierarchy, less
effectiveness, orthodox attitudes, and little attention to performance, output, and efficiency.
( Jain, 2004) The term Human Resource Management has been elaborated by William F.
Glueckas "that function of all enterprises which provides for effective utilization of people to
achieve both the objectives of the enterprise and the satisfaction and development of the
employees." (William F. Glueck, 1981) Administration refers to only recruitment, promotion,
transfer, salary and job administration, and industrial relations, whereas Human Resources
Management is a subsystem of a larger whole and besides dealing with traditional personnel
areas; it deals with human behavior, well-being, and growth at individual and group level.
(Ibid) Traditional Personnel management cannot sustain to get better output from the
employees in American organizations. HRM is a new and dynamic dimension as a change or
development of fundamental environmental instabilities. Traditional concepts, orientations,
and power of personnel management functions could not adequately respond. (Wendell L.
French) HRM was recognized as a much broader and softer term in the USA and later on
globally. Wendell French, who gave theory, held the view that HRM is the systematic
planning, development, and control of a network of interrelated processes affecting and
involving all organization members. These processes include Human Resource Planning, Job
and Work Designs, Staffing, Training and Development, Performance appraisal and review,
Compensation and Reward, Employee Protection and representation, and organizational
improvement. To effectively manage these processes, human resources management is
planned, developed, and implemented through all managers and human resource specialists'
combined efforts along with all employees in the organization. (Ibid) The HRM as a concept
and approach is very vast, broad, and useful. It helps any organization to achieve all
objectives and, ultimately, organizational excellence. Paul Pigors and Charles Myers have
rightly opened that, "It is through the combined efforts of people that monetary and material
resources are utilized for organizational objectives. (Paul Pigors and Charles Myers, 1981).
Byans and Rue have defined HRM as "encompasses those activities that are designed to
provide for and coordinate the human resources of an organization. (LlyodL.Byars and Leslie
W. Rue, 1984). N.K. Singh looked at a broader view regarding HRM and opined, "HRM
refers to the holistic approach to managing people. It has welfare, recruitment and
establishment role, potential development in a composite framework of management (N.K.
Singh, 2003). In Bangladesh, Government management is inefficient. Monumental
mismanagement affects our power sector for the absence of proper management, especially
for the lack of appropriate H.R. management. The people of Bangladesh are suffering from a
massive power crisis; at this stage, additional power needs to be added to the national grid as
soon as possible. So in the electricity sector, skilled and experienced human resources and a
robust H.R. system are badly needed to meet the gap between high demand and less supply
and ensure effectiveness and efficiency of power generation and distribution
1.5 Methodology of the study

The study is conducted in the Electricity sector in Bangladesh. The sector is chosen to
achieve the objectives. Target population refers to the total number of employees from which
the study intends to collect data. The targeted respondents are directly related to the
Electricity Generation and Distribution Organizations like engineers, managers, supervisors,
in charge, and other staff. The sample for the study is 30. The study is made on both primary
and secondary sources of data. The primary data is collected through Face-to-Face
conversations with the managers, officers, and staff, interviewing managers, officers, and
staff, sharing practical knowledge of officials. Secondary data is also collected from the
related department's desk report, online data from the Bangladesh Electricity sector website.
Annual reports of different years of the organization, unpublished data, and newspaper
articles about the organization, prior research reports, various books, and periodicals related
to the Electricity sector. For data analysis, the research has been conducted using qualitative
and quantitative methods.

1.6 Data Analysis

Questionnaire and statistical analysis

SL Criteria SD D N A SA No of
respondent
Employee’s perceiving organization
support is very important reason for
01 employee’s motivation and develop a 0 0 5 10 15 30
positive role and promotes their job
performance.
Managers and supervisors are provided
02 with appropriate learning opportunities to 0 0 4 12 14 30
develop their supervisory skills.
All employees have a work plan and
03 performance objectives that identify the 0 0 7 11 7 30
activities and expected results for future
 performance.
04 The organization is committed to provide 0 0 3 14 13 30
a safe work environment.
Every employee’s training and
development needs are reviewed at least 0 0 0 23 7 30
05 annually and plans established to address
any gaps.
Transformational leadership on
06 organizational performance with 0 0 10 5 15 30
mediating effect of employee
engagement.
Employee’s posting location and age
07 group may alter the relationship between 0 0 3 18 9 30
perceived organizational support and
employee engagement.
During the development of the annual
08 budget, consideration is given to 0 0 4 18 8 30
including appropriate resources to fund
employee training and development.
The contents of the training programs
09 organized are always relevant to the 0 0 12 9 9 30
changing needs of the jobs and the
business.
10 Good performers get promoted first. 0 10 9 5 6 30
11 The organization ensures a work 0 0 3 6 21 30
environment free of harassment.
12 Criteria used to select the appropriate 0 0 3 11 16 30
person are established and documented.

SD-Strongly disagree, D-disagree, N-Neutral, A-Agree SA- Strongly agree

 Particular Mean Variance
SD .00 .000
D .64 5.240
N 4.72 10.377
A 14.8 25.660
SA 10.20 38.250
Not Agree 5.36 19.323
Agree 24.28 21.710

We have split the Likert scales into two group as not agree (SD+D+N) and agree (A+SA) to
explore the satisfactory level of HR management.

Satisfaction level Mean Standard Error 95% confidence interval

Not Agree 5.36 0.879 (3.55, 7.17)

Agree 24.28 0.932 (22.36, 26.20)

Since the mean of agree is about 5 times higher than not agree, so it is clear that the
respondents are satisfied with HR management service.

1.7 Result

From this Study on Human Resource management practices in the Electricity sector, some
significant results have come out.

 There is a robust H.R. management system that is followed and practiced in the
Electricity sector.
 Researchers marked the relation of employee engagement with perceived
organizational justice as a win-win concept. Employee perceive the way how
supervisor treats to them and reciprocate.
 A fair recruitment process is practiced.
 Training and Development programs are arranged regularly.
 There is energetic workforce in this sector.
  Intellectual stimulation, inspirational motivation and individualized consideration
which are attributes of transformational leader were found positively related to
employee engagement.
 The performance of each employee is fairly assessed.
 Different training programs are organized for different types of the workforce
throughout the year.

1.8 Conclusion

The need for electricity in Bangladesh cannot be expressed in words; the effect of power in every
growing sector of Bangladesh is undeniable. The economic goals of the country cannot be
achieved without flourishing the power sector of Bangladesh. At present, it is way over time that
we are still locating the gaps and shortfalls in the power sector, now it is time to act. However,
the government holds the key to this sector. The private sector should always be encouraged to
participate in the power sector to accomplish the government's plan for the power sector. A
standard HRM policy should be implemented as soon as possible to make the power sector
effective. Fair recruitment, training, and promotion practices significantly contribute to the
efficiency of the Electricity Sector. Training and Development programs ensure the highest
efficiency in electricity generation and distribution. Therefore, it would be essential if Electricity
generation and distribution organizations earnestly implement a human resource management
system. So in the electricity sector, skilled and experienced human resources and a healthy H.R.
system are badly needed to meet the gap between high demand and less supply and ensure
effectiveness and efficiency of power generation and distribution service.

1.9 Limitations and further directions

In carrying out this study, the researcher came across some difficulties, like sample respondents
are not so large. It should be conducted more sampling. At the time of carrying out the research,
most of the respondents were carrying out their routine jobs, and as a result, finding time to fill in
the questionnaires is difficult. It called for constant communication between the researcher and
the institutions to find the right fit in terms of time, allowing for collecting data from all the
respondents.
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[2] Lumayo f. Mildred, an assessment of the effects of computerized human resource

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[3] Dessler, G. (2005) Human Resource Management, 10.ed, USA: Prentice Hall

[4] Rousseau, D. M. (2004). Psychological contracts in the workplace: Understanding ties that
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[5] J. Phillip in Valedictory Address at the Seminar on Human Value and Organizational
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[6] N.C. Jain, Dictionary of Management, AITBS Publishers and Distributors, New Delhi, 2004,
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[7] William F. Glueck, Management, Dryden Press, Illionois, 1981, p. 669

[8] Wendell L.French, Human Resource Management, All India Publishers and
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[9] Ibid. p. 6.

[10] Paul Pigors and Charles Myers, Personnel Administration, McGraw Hill, Mumbai, 1981, p.
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[11] Llyod L. Byars and Leslie W. Rue, Human Resource and Personnel Management, Richard
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[12] N.K. Singh, Human Resource Management, Excel Books, New Delhi, 2003, p.4.

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[16] http://www.reb.gov.bd/about_reb.htm