this is internship presentation slide on compensation management system of sonali bank by Babul Hossain Chowdhury. BUBT

2. Md. Babul Hossain Chowdhury
ID:15162101300
39th Intake
BBA Program
Major in Human Resource Management

3. Topic
“Compensation Management System
of
Sonali Bank Limited”

4. Primary Objective:
 The broad objective of the study is to analyze the
compensation Management System of Sonali Bank Ltd.
Specific Objectives:
 To explain the compensation management system of Sonali
Bank Ltd.
 To identify the problems of compensation management
system of Sonali Bank Ltd.
 To recommend some appropriate measures for overcoming
the problems.

5. Secondary data sources are used to generate this report.
Primary data sources are scheduled survey, informal
discussion with professionals and observation while working
in different desks. The secondary data sources are annual
reports, manuals, and brochures of Sonali Bank Ltd. and
different publications of Bangladesh Bank.
To identify the implementation, supervision and monitoring
practices interview with the employee and extensive study of
the existing file and practical case observation was done.

6. The report is not free from some practical limitations.
Following limitations have faced during the report and at
the time of working for data collection:
 In many cases the relevant authorities are not helpful to
provide information.
 Up to date information were not available.
 Lack of records, sufficient books, unavailable
information in website. These constrains narrowed the
scope of accurate analysis.
 The employees of the Bank were so much busy with
their jobs, which lead a little time to consult with me.

7. About
Sonali Bank Limited

8.  The principal activities of the bank are to provide a
comprehensive range of financial services, personal and
commercial banking, trade and services, cash
management, treasury, securities and custody services and
perform Government treasury functions as an agent of the
Bangladesh Bank.
 For its retail customers it offers savings, remittance and
deposit products including savings accounts, daily profit
accounts as well as education deposit, Medicare deposit,
marriage savings deposit and rural deposit schemes.

9. Mission:
 High quality financial services with the help of the latest
technology.
 Fast and accurate customer service.
 Balanced growth strategy.
 High standard business ethics.
 Steady return on shareholders equity.
 Innovative banking at a competitive price.
Vision:
 To stand out as a pioneer banking institution in Bangladesh
and contribute significantly to the national economy.

10. Sonali Bank Limited with its widely speeded branch
network and provides services like issuing:
 SME Banking
 Government Treasury Bonds
 Locker Service
 A.T.M. Card
 Utility Bills Collection
 Ancillary Services
 Merchant Banking

11. Theoretical Aspects

12. The word compensation has been derived from the Latin
word “Compensation” which means the reward or
remuneration given in exchange for labor or service.
Compensation Management: Compensation Management
is the practices of the organization that involves giving
monitory as well as non-monitory rewards to the
employees for the time they allocate to their job.

13. The organization provides the financial facilities to the
employees for doing their job in the organization. Financial
compensation includes the following:
Salary
Wages
Incentives
Fringe Benefits
Dearness allowance
Medical allowance
House rent allowance
Gratuity
Retirement benefits

14. Non-Financial Compensation includes:
 Dignity
 Recognition
 Social Status
 Work Environment
 Achievement

15. The Management of compensation must meet several
objectives. These objectives are listed below:
To acquire qualified personnel
To retain present employees
To reward desired behavior
 To control costs
 To comply with legal regulation
 To ensure further administrative efficiency

16. There are eight compensation dimensions. These are as follows:
 Pay for work and performance
 Pay for time not worked
 Disability income continuation:
 Loss of job income continuation:
 Deferred income
 Spouse income continuation:
 Health Equivalent Payments:
 Income Equivalent Payment:

17. Compensation Management System
Of
Sonali Bank Limited

18. Designation Salary and Benefits
Basic House Rent
Allowance
Medical
Allowance
Conveyance
Allowance
Bonus* Provident Fund
Senior Principal
Officer
(SPO)
64,780/- 40% 15% 15% 2 bonus 10% of basic
salary
Principal Officer 51,240/- 40% 15% 15% 2 bonus 10% of basic
salary
Senior
Officer
42,100/- 40% 15% 15% 2 bonus 10% of basic
salary
Officer Grade II 25,200/- 40% 15% 15% 2 bonus 10% of basic
salary
Assistant Officer 14,700/- 40% 15% 15% 2 bonus 10% of basic
salary
Note (Bonus*): 2 Bonus= 2 Festival Bonus.
Table: 4.1 Salary Structure of Sonali Bank Limited(Ibrahimpur,Branch)

19. ALLOWANCES INCENTIVES / BENEFITS
Executive
employees
Operative
employees
Executive
employees
Operative
employees
 House Rent
 Medical
allowance
 Transport
allowance
 Lunch allowance
 Utility allowance
 Medical
allowance
 Lunch
allowance
 Yearly Leave Fare
Assistance.
 Yearly two
festival bonuses.
 Yearly
performance
Bonus.
 Yearly workers
profit sharing
Bonus.
 Long Term:
 Provident fund.
 Gratuity.
 Group Insurance
Policy.
 Medical Benefits.
 Yearly two
festival
bonuses.
 Yearly
performance
Bonus.
 Long Term:
 Provident fund.
 Medical
Benefits.
.

20. Questionnaire Analysis

21. 1. Are you satisfied with the compensation management
practices of Sonali Bank Limited?
Interpretation:
In response to this question 83% respondent of the Sonali Bank
Limited said that they are satisfied, and 17% said that they are
dissatisfied about the compensation package Sonali Bank
Limited.
Comment:
Most of the respondents are satisfied about the compensation
package of sonali Bank Limited.

22. 2. Are you satisfied with your salary?
Interpretation:
In respond to this question, 67% respondent of the Sonali bank
Limited said that they are satisfied, 25% said that they are
dissatisfied and 8% respondent are said that they are highly
dissatisfaction about their current salary.
Comment:
Most of the respondents are satisfied about their current salary.

23. Interpretation:
In respond to this question 75% respondent of the Sonali Bank
Limited said that they are satisfied, and 17% respondent they are
dissatisfied, and 8% respondent are said that they are neutral about
their leave facilities.
Comment:
Majority of the respondents are satisfied about leave facilities of
Sonali Bank limited..
3. Are you satisfied with the leave facilities of Sonali bank
Limited?

24. Interpretation:
In respond to this question, 83% respondent of the Sonali Bank
Limited said that they are satisfied, and 17% said that they are
highly satisfied about the provident fund of Sonali bank limited.
Comment:
All of the respondents are satisfied about their provident fund.
4. Are you satisfied with your provident fund?

25. 5.Are you satisfied with your festival bonus of Sonali Bank
Limited?
Interpretation:
In response to this question, 75% respondent of the Sonali Bank
Limited said that they are satisfied, and 17% said that they are
dissatisfied, 7% respondents are said that they are highly dissatisfied
about their festival bonus.
Comment:
Majority of the respondents are satisfied about their festival bonus.

26. Interpretation:
In response to this question 58% respondents of the Sonali Bank
Limited said that they are satisfied, 25% respondents said that they
are neutral and 17% respondent are said that they are dissatisfied
about the insurance facilities of Sonali Bank Limited.
Comment:
Some respondents are satisfied and some are dissatisfied about the
insurance facilities of Sonali Bank Limited.
6. Are you satisfied with the insurance coverage’s offered to you?

27. Interpretation:
In respond to this question 67% respondent of the Sonali Bank
Limited said that their satisfaction level is very poor and 33%
said that their dissatisfied about the medical allowance of Sonali
Bank Limited.
Comment:
Most of the respondent’s are dissatisfied about the medical
allowance of Sonali Bank Limited.
7. Are you satisfied with your medical allowance?

28. Findings, Conclusion &
Recommendations

29.  Most of the respondents are satisfied about the compensation
package of Sonali Bank limited.
 Most of the respondents are satisfied about their current
salary.
 Majority of the respondents are satisfied about their leave
facilities of Sonali Bank.
 All of the respondents are satisfied about their provident
fund.
 Majority of the respondents are satisfied about their festival
bonus.
 Some respondents are dissatisfied about the insurance
facilities of Sonali bank Limited.
 Most of the respondent’s are dissatisfied about the medical
allowance of Sonali Bank Limited.

30. The following suggestions are given in order to overcome the
compensation management related problems of Sonali Bank Ltd.
These are:
 Sonali Bank Ltd. should provide medical allowance to the all
employees.
 Sonali Bank Ltd. should establish an insurance coverage’s for
their employees.
 Sonali Bank Ltd. should provide flexible leave facilities for
employees at satisfactory level.
 Sonali Bank Ltd. should provide better compensation package
than before which is more effective for their employees.

31. From the aforesaid topic & my point of origin to work in Sonali Bank
Ltd., I can say that I really enjoyed my internship period at Sonali
Bank Ltd. form the very first day. I am confident that this 3 (three)
months internship program at Sonali Bank Ltd. of Bangladesh will
definitely help me to realize my further career in the job market.