Corporate Level Strategy: How diversified is PRAN-RFL Group?

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Corporate Level Strategy: How diversified is PRAN-RFL Group?

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Are banking employees engaged with their work?

Data Analytics: A Conceptual Discussion

April - June 2017

Editorial Board

Mr. Muza�ar Ahmed FCMA, FCS - ChairmanMs. Sarwat AminaMr. Asiful HuqMr. Tanzirul IslamMr. Jaber Shahedul Are�nMs. Nusrat AminaSyed A. Mamun, PhD, FCMA - Editor

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IntroductionTypically, a corporate sets corporate level strategy by diversifying its business into di�erent sectors to exploit competi-tive advantages. A good number of corporate groups has been emerged in Bangladesh for last two decades. This paper sheds light on such a corporate namely PRAN-RFL to explore its corporate diversi�cation strategy.

PRAN-RFL group was established in 1981 by Amjad Khan Chowdhury. In fact, RFL started its journey in 1980 to ensure pure water and a�ordable irrigation instruments for improving rural life. Though the company initially focused on cast iron products, subsequently, it diversi�ed its operation into PVC sector and Plastic sector in 1996 and 2003 respec-tively. At present, RFL is the market leader in all three sectors- cast iron, PVC and plastic sectors in Bangladesh.

PRAN foods Ltd. is the agro-processing subsidiary of PRAN-RFL group started its journey in 1981. PRAN produces 400 food products under 10 di�erent categories i.e. Juices, Drinks, Mineral Water, Bakery, Carbonated beverages, Snacks, Culinary, Confectionery, Biscuits & Dairy. In 2008, it has established its �rst overseas production plant in Tripura, India. Currently, PRAN exports di�erent agro-products amounting Taka 10 billion to 118 di�erent countries including New Zealand, India, Saudi Arabia, UAE, Malaysia, and Oman. PRAN-RFL group has diversi�ed its business into building material sector by establishing Banga Building Materials Limited (BBML) in 2006 especially to manufacture and distribute doors and water tanks. In addition, Allplast Bangladesh Ltd (APBL) of the group was established in 2010 to manufacture export-oriented Shopping bags, Fashionable Bags, Bag on roll, Garbage Bag, Stretch Film as well as Garments poly. BEST BUY is the another initiative of this group to involve in retail business to o�er �nish goods to end customers. Figure 1 presents the corporate diversi�cation of PRAN-RFL group.

PRAN produces 400 food products under 10 different categories i.e. Juices, Drinks, Mineral Water, Bakery, Carbonated beverages, Snacks, Culinary, Con-fectionery, Biscuits & Dairy. In 2008, it has established its first overseas produc-tion plant in Tripura, India. Currently, PRAN exports different agro-products amounting Taka 10 billion to 118 different countries including New Zealand, India, Saudi Arabia, UAE, Malaysia, and Oman.

CRISL Business Review, April - June 2017


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In brief, PRAN-RFL group has been diversi�ed its business into three major sectors such as food processing sector, mate-rial and plastic manufacturing sector, and retail chain store sector which re�ects its moderate level of corporate diversi�-cation strategy.

Figure 1: Corporate Level Diversi�cation of PRAN-RFL Group

Are banking employees engaged with their work?

Alima Aktar, a PhD Candidate, School of Business Management, Depart-ment of Human Resource Management, Universiti Utara Malaysia (UUM)

By ALIMA AKTAR

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CRISL Business Review, April - June 2017Are banking employees engaged with their work?

IntroductionAt present, employee engagement is a burning issue in the �eld of organization and human resource devel-opment (Wollard& Shuck, 2011). For last two decades, it has drawn considerable attention to both academic and practitioners due to its critical role in employee performance. At the early, Kahn (1990) de�ned employee engagement as physical, cognitive and emotional state of employee to involve themselves in their organiza-tional role. Similarly, Schaufeli et al. (2002) described employee engagement as a positive, satisfying, job-related status of mind that is manifested by vigor, dedication, and absorption. Prior studies (e.g., Hakanen & Schaufeli, 2012; Gruman & Saks, 2011) showed that engaged employees are the key to organizational success because of their positive in�uence on employee performance, behavior, job satisfaction, innovative-ness and organizational pro�tability. In addition, employee engagement negatively a�ects on turnover inten-tion, deviant behavior and absenteeism (Shantz et al., 2014; Agarwal et al., 2012; Schaufeli et al., 2002). There-fore, level of employee engagement is an important concern for the organizations. This paper attempts to explore the level of engagement of banking employees in Bangladesh.

Employee Engagement around the worldDespite the acute role of employee engagement for organizational achievement, at present time, the declin-ing pattern of engagement level has been found across the world (Richman, 2006; Bates, 2004). According to Gallup’s study (2012), on an average 63% of total employees (in the Table 1) around the world are not engaged at their work and this deepening disengagement pattern has been increased by 1% from 2010 to 2012. It has also been found that average of 13% of total employees are engaged which suggests that majority of the employees are not giving concentration while doing their job results in poor employee performance.

Table 1: Global Employee Engagement

Source: Gallup’s Survey 2012

Gallup’s survey (2012) also reveals the region wise engagement level among the employees and shows the varied results in di�erent global region. The results (see in Table 2) show the highest level of engagement i.e. 29% in North America and the lowest engagement level of only 10% has been found in South Asia. More speci�cally, Southeast Asia has the highest proportions of disengaged employees among all the regions at 73%. It indicates that Southeast Asian countries like Bangladesh has a highest number of employees who are not motivated and are less likely to show their discretionary e�ort at workplace. Based on this drawback of imperative role of employee engagement to organizational results, along with the higher level of global disengagement of employees, it is very crucial to identify the issues that will help to enhance the engagement level at workplace.

.. the level of engagement for male employees is 73%, while engagement level of female employees is 69%, which indicates the role of gender in em-ployee engagement of banking employees in Bangladesh.

Moreover, researchers identi�ed the most alarming point is that 24% employees around the world are “actively disengaged” that indicates the dissatis�ed and unproductive workforce in the job who are responsi-ble to spread negativity among coworkers (Gallup, 2012).

2009-10 2011-12

Actively Disengaged 27% 24%

Not Engaged 62% 63%

Engaged 11% 13%

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Table 2: Regional Employee Engagement

Region Engaged Not Engaged Actively Disengaged

North America 29% 54% 18%

Australia & New Zealand 24 60 16

Latin America 21 60 19

Commonwealth of Independent States and nearby countries

18 62 21

Western Europe 14 66 20

Southeast Asia 12 73 14

Central and Eastern Europe 11 63 26

Middle East & North Africa 10 55 35

South Asia 10 61 29

Sub-Saharan Africa 10 57 33

East Asia 6 68 26


Employee Engagement of Banking Employees In the previous section, studies (Gallup’s survey, 2012) give focus on the worldwide engagement level among the employees and the lowest level of disengagement has been found in Southeast Asia region compare to other regions. To con�rm the result, this study has considered 30 listed commercial banks in the Dhaka Stock Exchange (DSE) that are located in Dhaka city. A total of 434 banking employees have taken to measure the level of employee engagement. In Table 3, results show that 52% of total banking employees are not engaged at their work indicates that most of the employees working in banks are not encouraged to show positivity in the job in Bangladesh. Most importantly, the percentage of highly disengagement employees i.e. 13% is higher than that of highly engaged employees i.e. 8%. Furthermore, it has also been found that the level of employee engagement is varying among the di�erent demographic pro�le of the respondents. Figure 1 shows that the level of engagement for male employees is 73%, while engagement level of female employees is 69%, which indicates the role of gender in employee engagement of banking employees in Bangladesh.


Table 3: Employee Engagement of Banking Employees

Level of Engagement No. of Employees Percentage

Highly Engaged 33 8%

Engaged 174 40%

Disengaged 169 39%

Highly Disengaged 58 13%

Total 434 100%

CRISL Business Review, April- June 2017Are banking employees engaged with their work?

The varied level of engagement can also be found among the di�erent age groups. The study results (in Figure 2) reveal that the employees who are more than 35 years of old are likely to show a higher level of engagement of 75% followed by the age group 30 to 35 years old at 73% and less than 30 years employees are likely to show 72% of the level of engagement.

Figure 3 results also show that married employees are more likely to have a higher level of engagement (73%) compare to unmarried employees (70%). This diverse pattern of engagement level has been found among the employees based on their di�erent education and experience level. Figure 4 reveals that employees with master degree are more likely to show their engagement level at 74% which is higher than the bachelor degree at 71%. More interestingly, higher level of engagement has been found among highly experienced employees and the employees starting their career.

Results (see in Figure 5) demonstrate that employees who are more experience in their job have the engagement level at 74% followed by the employees who are less experience i.e. less than 3 years at 72% and poor level of engagement has been found among the employees who have the experience between 3 to 5 years at 71%.

...higher level of engagement has been found among highly experienced employees and the employees starting their career.

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Concluding remarksIn the contemporary period, employee engagement has become a central point to make the organization more competitive and successful as it is directly related to the organizational bottom line (Gruman & Saks, 2011). Kahn (1990) stated that disengaged employees are not psychologically attached to their work which may lead to the lower employee performance. In fact, Gallup’s Survey (2012) revealed that the U.S. is losing near to $500 billion productivity per year only because of the disengaged employees. Although employee engagement is very critical to achieve organizational competitive advantage, little concern has been found among organizational practitioners. Human Resource managers need to give priority to make their policy in such a way that may enhance the level of engagement among banking employees. As previous section discussed that the level of engagement are not same for all the employees who are working in banks rather it is varied based on di�erent criteria. For example, employees with master degree are more engaged than bachelor degree. The possible reason could be lack of capability of doing the work i.e. highly educated employees can do their work in a better way than the employees who are less quali�ed. In this case, organiza-tions can arrange a proper training program to feel them con�dent while doing their work. In conclusion, organizational policy makers need to give focus on increasing the banking employees’ engagement for ensur-ing their better organizational performance.

ReferencesAgarwal, U. A., Datta, S., Blake-Beard, S., & Bhargava, S. (2012). Linking LMX, innovative work behaviour and turnover intentions: The mediating role of work engagement. Career Development International, 17(3), 208-230.Demerouti, E., & Cropanzano, R. (2010). From thought to action: Employee work engagement and job performance. Work engagement: A handbook of essential theory and research, 147-163.Gallup Consulting (2012). The Relationship Between Engagement at Work and Organizational Outcomes.Gallup Manage-ment Journal.Gruman, J. A., & Saks, A. M. (2011). Performance management and employee engagement. Human resource management Review, 21(2), 123-136.Hakanen, J. J., & Schaufeli, W. B. (2012). Do burnout and work engagement predict depressive symptoms and life satisfac-tion? A three-wave seven-year prospective study. Journal of a�ective disorders, 141(2), 415-424.Kahn, W. A. (1990). Psychological conditions of personal engagement and disengagement at work. Academy of manage-ment journal, 33(4), 692-724.Macey, W. H., Schneider, B., Barbera, K. M., & Young, S. A. (2009). Employee engagement: Tools for analysis, practice, and competitive advantage. John Wiley & Sons.Schaufeli, W. B., Salanova, M., González-Romá, V., & Bakker, A. B. (2002). The measurement of engagement and burnout: A two sample con�rmatory factor analytic approach. Journal of Happiness studies, 3(1), 71-92.Shantz, A., Alfes, K., & Latham, G. P. (2014). The Bu�ering E�ect of Perceived Organizational Support on the Relationship Between Work Engagement and Behavioral Outcomes. Human resource management.Slåtten, T., & Mehmetoglu, M. (2011). Antecedents and e�ects of engaged frontline employees: A study from the hospital-ity industry. Managing Service Quality: An International Journal, 21(1), 88-107.Wollard, K. K., & Shuck, B. (2011). Antecedents to employee engagement a structured review of the Literature. Advances in Developing Human resources, 13(4), 429-446.


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Data Analytics: A Conceptual Discussion

Rasedul Hasan, a Lecturer, Department of Business Administration, East West University

By RASHEDUL HASAN

April - June 2017


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IntroductionData analytics refer to the tools, techniques and process of continuous exploration and investigation of data to gain the insight about the data which may help making prudent decisions. It is an integration of science, technology and business context to assist data driven decision making. Big data analytics process is used to uncover hidden patterns of the data which, in turn, visualize the reality more clearly to support the organiza-tional decision making. There are four di�erent types of data analytics presented in �gure 1.

Figure 1: Types of Data Analytics

Descriptive Analytics is the examination of data or content, usually manually performed, to answer the ques-tion “What happened?” (or What is happening?), characterized by traditional business intelligence (BI) and visualizations such as pie charts, bar charts, line graphs, tables, or generated narratives such as who are my customers, how much is each customer spending on our product, how much are they spending with our customers.

Diagnostic Analytics is a form of advanced analytics which examines data or content to answer the question “Why did it happen?”, and is characterized by techniques such as drill-down, data discovery, data mining and correlations.

Predictive analytics is the use of data, statistical algorithms and machine learning techniques to identify the likelihood of future outcomes based on historical data. The goal is to go beyond knowing what has happened to providing a best assessment of what will happen in the future.

Prescriptive analytics is the area of analytics dedicated to �nding the best course of action for a given situa-tion. Prescriptive analytics is related to both descriptive and predictive analytics.

CRISL Business Review, April - June 2017Data Analytics: A Conceptual Discussion

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Data Analytics ProcessTypically, there are six sequential steps in a data analytics process presented in �gure 2.

Figure 2: Data Analytics Process

Bene�ts of Data Analytics Data Analytics assists organizations to make smarter decisions and make operations more e�cient. It also contributes to improves the productivity of the organizations by exploring various hidden reality of organiza-tional operation. Analytics helps an organization to measure its progress in achieving mission and vision. Overall, data analytics is a critical tool for a business organization in handling big data which is essential to make prudent decision at the competitive business environment.

...data analytics initiative without proper strategy may make the initiative unsuccessful. Like any new initiative, data analytics requires cultural change.

Challenges of Data AnalyticsStarting data analytics initiative without proper strategy may make the initiative unsuccessful. Like any new initiative, data analytics requires cultural change. Thus, managing the cultural changes is a big challenge for an organization for implementing data analytics properly. Shortage of analytics talent is another challenge. Some companies may have shortages of internal talent which may hamper in application of data analytics e�ectively. Training existing employees can take long time and expensive. Understanding data is another challenge new employees may not understand the data. Quality of Data also is critical for data analytics. Reporting and visualization of results are di�erent from conventional system that may be problem for senior management. Though the hypercompetitive market may require results within very short time, reporting at the short time might be a problem at the early stage. In addition, developing proper infrastructure may be a big challenge to implement data analytics.

Data Analytics ToolsAt the contemporary age of information technology, various sophisticated tools of data analytics are devel-oped and used. Figure 3 presents some of the data analytics tools.

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Figure 3: Data Analytics Tools

Data Analytics SoftwareThere are di�erent types of software are used for data analytics purposes. Some of the important software is presented in Figure 4.

Figure 4: Data Analytics Software

ConclusionThough di�erent companies have been using data analytics for many years, now it becomes must. Overall the years data analytics become more strengthen and formalized. Because of availability of data and open source software it becomes easier to adopt.




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Corporate Level Strategy: How diversified is PRAN-RFL Group?

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