HR PRACTICES IN RENATA LIMITED

Prepared by:Ariful Islam MBA-160170636

Submitted To:Dr. Md. Khairul IslamFaculty, Human Resource

Management Department of Business

AdministrationNorthern University

Bangladesh

HR Practices in Renata Limited

HR Practices in Renata Limited 1

Brief HistoryThe company began its journey as Pfizer (Bangladesh) Limited in 1972. It passed two successful decades as a subsidiary of Pfizer Corporation. In the late 1990s Pfizer had shifted from formulations to research and in 1993 the company named as Renata. Since its inception it was conceived to manufacture ethical drugs

Company ProfileRenata Limited is publicly listed pharmaceutical company which exports to multiple countries. Renata is listed on the Dhaka Stock Exchange with a market capitalization of almost US $400 million. Company profile of Renata is appended below:

Type of Company: Listed Public Limited (Dhaka Stock Exchange) Turnover: 5090.3 million. Market Capitalization: $ 400 million. Quality Recognition: 1S09001- 2000 (DNV) No. of Employees: 3,485 employees. Mission

Mission statement describes a company's function and fundamentals. The mission of Renata Limited is:"To provide maximum value to our customer, shareholders, Colleagues and communities where we leave and work"The mission statement articulates the company's purpose both for the organization, for the public as well.

THE ORGANIZATION


HR Practices in Renata Limited

Vision Vision is the ultimate goal of an organization. The vision of Renata is as under:"To establish Renata Permanency among the best ofInnovative branded generic companies.”By using their innovation Renata permanently wants to establish as a one of the bestPharmaceuticals Company

Products/Services Renata has more than 145 molecules in over 257 dosage forms. Few of the products are givenbelow:Pharmaceutical ProductsAnti-bacterial Preparations- FurocefAnti-spasmodic Preparation- AlginAnti-diabetic Preparations- MepidHemostatics Preparation- XamicAnti-asthmatic Preparation- Odmon 5Vaccine- Rabipur

THE ORGANIZATION

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Business Activities:Renata is one of the leading Pharmaceutical companies of our country which successfully passed three decades already. With all the modern facilities Renata manufactures medicine in different formulations like tablets, capsules, ointments, cream and injection sales contribution by business unit of last year is given in chart 1

THE ORGANIZATION


Financial performanceIn terms of turnover Renata Ranks 27th among the listed company of stock exchange of the country. Among the pharmaceuticals company it ranks number 11th. Turnover of the company during 2014 was USD 5,823,362.00. Renata has a growth of more than 20% over last years.

Financial performance of last year is shown in chart 2

THE ORGANIZATION


This report has been prepared primarily for the fulfillment of the Human Resource Management course, which is an essential part of the MBA program of Northern University Bangladesh.

The objective of this report is: 1. To know about the Renata Limited and its HR practice. 2. To find out the kinds of training provided by Renata to its employees. 3. To look on the frequency of training provided by Renata to its employees. 4. And finally whether the training provided by the organization has any impact

developing the employee.

Objective of the report


To complete the paper both primary and secondary data were required. Interviewing the HR Executive of the company collected primary data and secondary data were collected from company’s documents, web sites and books.

Methodology


Scope:Renata Limited is one of the leading organizations in Bangladesh. This organization has different departments, different products, different services and different customers. As an intern in the Corporate Headquarters of Renata Limited, I have got information and details regarding training initiatives limited to only to what I observed in the Renata premises. The report covers the functions and the performance of the Human resource department of Renata Limited.

Limitation:Primary limitation of the report is that it is based on facts, accumulated from word of mouth, while consulting secondary data. Some information presented in the report may be biased, as people tend to avoid their own limitation regarding their job and tend to hold other departments responsible for drawbacks of their own. As the report is not a comprehensive one, rather based on a single facility of Renata Limited and also based on a limited number of department employees so any ultimate decision may not be drawn about the whole organizations training facility.

Scope and limitation


Human resource management issue is now a vital element for every company. It is especially obvious for the manufacturing industries. Human resource policy of Renata Limited will ensure to retain the best and effective employees at all level of the hierarchy. Now in the competitive global market human resource is the most welcomed resource than other resources. So to motivate and update the employees of Square Pharmaceutical Limited it has developed. Its own compensation policy, training and development policy, recruitment and selection policy, and career development policy and soon. It is believed that through utilizing the human resource policy it will able to attract and retain more employees to reach its target within a short period of time.

Human Resource Management Policy


Renata Limited intends to attract the talented pool of personnel existing in the country. It does its utmost to provide them with an excellent equal employment opportunity, which will benefit for the organization fully and enhance the employees’ career to the future. Outstandingly, the grounds of Renata Pharmaceutical Limited will encourage the cerebral resources of the organization and keep it as long run as possible with a finest.

Mission of Human Resource Department


For executive positions, skilled, experienced and reputed employees are hired form the outside.

For marketing department, the company fills higher positions through internal promotion only.

Fresh graduates are recruited at the entry in the post of medical promotion officer. The company does not seek any experience for recruiting entry-level employees.

Following preliminary interview, written test and final interview; medical promotion officers are selected on a temporary basis. The temporary selected applicants are then sent for six weeks induction training.

After the completion of training, the employees are appointed for six months as probationary period.

On completion of probationary period, the company undertakes performance appraisal and selects the qualified employees permanently.

Recruitment Policy


At first Renata Limited collects applications from candidates those have been dropped by them either unsolicited or solicited in the response of advertisement that are published in national media’s.

Once the pull of applicants applied for the vacant position, Renata Limited takes examination of them, which is a written examination.

Then among them who passed the written examination successfully are invited to attend an oral test or viva, which is called the Managerial Viva. Here potential candidates are interviewed by the Personnel Department Manager or by the Manager of the department.

Those that get the green signal from the Managerial Viva then are asked to face a Comprehensive Interview in front of the Board of Directors. This is called Directors Viva. As all

know that Renata is a leading National company, it is run by a Board of Directors consists of the owners and stockholders.

These members of the Board of Directors take the final decision about selecting employees from the peoples. This is the overall selection process of Renata Limited.

Selection Process of Renata Limited


Training involves employees acquiring knowledge and learning skills that they will be able to use immediately and employee development involves learning that will aid the organization and employee later in the employee’s career.

Training and Development Strategy of the Renata Limited: Training and development is now a significant part for every organization to update and make workforce competitive in the company to perform effectively and efficiently. Renata Pharmaceutical Limited would take training and development program for it is every level of the workforce. It will conduct based on the performance and base on the situation. It will highlight to update its workforce through external training center, as it has no internal training institution. Here those who will receive training, have to maintain a permanent contract, which will ensure retain of those upgraded workforce.

Training and Development Process


Renata Limited is concentrating on competitive compensation package for its all level of employees to ensure to retain and motivates its employees. To gain competitive advantage it has conducted salary survey. It is highly encourage performing its employees the best because Renata Limited will maintain performance based compensation system. On the other hand, promotion and salary increment will obviously depends on the performance of the employee in a fiscal year. Other allowances will be provided based on the organizational hierarchy. The compensation packages of the company is discussing below.

Compensation Policies


As Renata Limited is one of the leading national companies of Bangladesh its human resource policies are much more competent and well organized than any other organization of Bangladesh.

Even many Multinational companies are falling behind in the means of human resource practices than Renata Limited those are competing with the mentioned company.

The training process of Renata Limited is very widely spread to fulfill employees need to be more competitive. Each level of employees are facilitate with the training and development programs of Renata.

Employees are trained both on the job training along with off the Job Training. Both internal and external trainers are available to train employees in the organization.

But the lacking of Renata Limited’s development system is that it does not have any Training Institute of its own. Renata Limited has the structural support to establish a training institute to build its employees as it requires.

In the selection process of Renata it does not have any physical examination of the selected employees.

There is no specified process of the Background Investigation of the selected employees. It is recommended that it should adopt these steps also in the selection process which will help them to have more competent employees in the organization.

Compensations and benefit programs are standard enough in Bangladesh to retain employees in the organization but as Renata Limited is a company which is competing with many global companies so it should develop a compensation program which will be competitive enough to attract not only Bangladeshi candidates but also the candidates those are globally competitive.

Findings and recommendation


Renata Limited is a very well known national figure in Bangladesh. They are the biggest organization in Bangladesh. Renata Pharmaceutical Limited has a very well reputation for this working environment. Usually they only recruit people for all-level jobs, because they believe in the internal growth of their current employees. So it is easily understandable that Renata prefers their current employees first. That is why employees do not leave this organization. It is also true that Renata has a number of good employees who are talented as well as committed to the organization. They have very good communication skills. This is because of Renata Limited’s strong recruiting and selection process. Before taking employees they analyze on those position. They find out what are the responsibilities they should perform and what is the recruitment to perform those activities. Renata Limited has a structured planning for those processes. They conduct the processes in different steps. For this reason they have to spend time but finally they are being able to get the most prefect employees for their organization.

Conclusion


Class note and journal provided by course instructor. Fundamentals of Human Resource Management – David A. Decenzo, Stephen P.

Robbins, Susan L. Verhulst Human Resource Management-Cynthia D. Fisher/Lyle F. Schoenfeldt/James B. Shaw. http://renata-ltd.com/

References


http://renata-ltd.com/

HR PRACTICES IN RENATA LIMITED

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