A Research Proposal on: A Comprehensive Study of the Remittance Process Maintained by DHL Worldwide Express (BD) Pvt. Ltd.

Submitted To:
Mr. Alamgir Hossen Lecturer Institute Of Business Administration, Jahangirnagar University

Submitted by:
Md. Zahidul Alam ID# 1807 Batch 19th BBA Program

Submission Date:
28 September, 2013

Institute of Business Administration Jahangirnagar University

Origin:
This research proposal is submitted to attain the approval for doing an internship report on the topic A Comprehensive Study of the Remittance Process Maintained By DHL Worldwide Express (BD) Pvt. Ltd. as a partial requirement for the fulfillment of the BBA program from Institute of Business Administration, Jahangirnagar University.

Overview:
DHL is present in over 220 countries and territories across the globe, making it the most international company in the world. With a workforce exceeding 285,000 employees, we provide solutions for an almost infinite number of logistics needs. DHL is part of the world's leading postal and logistics Group, Deutsche Post DHL and encompasses three divisions: DHL Express, DHL Global Forwarding, Freight and DHL Supply Chain. Air Express Services of DHL was established in Bangladesh on 10th May. This was on request of Standard Chartered Bank Singapore (SCB - 1st Customer in BD). Mr. Henry Jacob was 1st Country General Manager. DHL Express in Bangladesh started its office through its Agent Homebound Packers & Shippers Limited in only one room in Gulshan, Dhaka within Homebound office premises. DHL started with only 5 staffs, only one baby taxi and one delivery van. DHL creates a unique bridge between Bangladesh and the world. Currently DHL Express Bangladesh connects Bangladesh to more than 220 countries and territories worldwide with its average weekly 120 commercial flights. There are 49 vehicles running from 5 stations to serve our customers need timely. A team of 450+ dedicated employees are ensuring world class service in Bangladesh. A remittance is a transfer of money by a foreign worker to his or her home country or simply sending amount from one country to another. Money sent home by migrants constitutes the second largest financial inflow to many developing countries, exceeding international aid. In 2012, according to the World Bank Report, $401 billion new remittance record went to developing countries with overall global remittances (including developed countries) topped $514 billion. Remittances contribute to economic growth and to the livelihoods of people worldwide. Moreover, remittance transfers can also promote access to financial services for the sender and recipient, thereby increasing financial and social inclusion

Problem Statement:
DHL does not operate locally in Bangladesh. DHLB mainly provides B2B services regarding freight transportation, warehousing, distribution and supply chain solutions. According to an employee, the B2B provides nearly 95% of DHLBs revenue. These services are mostly provided on credit. In many cases, DHLB receives payment from the mother company of its client at various currencies through its account with Citibank NA. This inward remittance is a close part of DHLs activities. DHLB has a revenue sharing agreement with its mother company. This is where the outward remittance process is used.

Objectives of the Report:

The objectives of the study are presented below: i. Full understanding of the importance and necessity of inward and outward remittance process in general and of DHLB. ii. Analyze the inward remittance process maintained by DHLB and its impacts. iii. Analyze the outward remittance process maintained by DHLB and its impacts. iv. Briefly review the revenue sharing process.

Methodology:
This report will use both primary and secondary sources of data. The methodology will be as follows:

Primary Sources:
The primary data needed will by collected personally while working at DHL Worldwide Express (BD) Pvt. Ltd. In-depth open-ended interview will be conducted with finance executives specially H.M. Shahriar Mahin, Management Accountant my supervisor at DHL Bangladesh & Hossain Asgar Shahriar, Management Accountant is in charge of the inward and outward remittance. All documents regarding the inwards and outwards remittance process will also be properly reviewed. Some forms that are necessary to be filled in case of inwards and outwards remittance will be added in the appendix section.

Secondary Sources:
Secondary sources of information will be taken from the World Wide Web, various newspaper and magazines. There are reports available regarding DHLs activity; help will be taken from them.

Limitations:
This work will be prepared while maintain the following limitations: i. Most of the data maintained by DHL Worldwide Express (BD) Pvt. Ltd. are considered confidential. This is the main obstacle in the path of this study. All financial information, customers name etc. are not allowed to be disclosed. ii. One of the main processes of obtaining information for this study will be via interview. As the employees will be busy during working hour, it will be difficult for obtaining information. iii. Human errors, i.e. an interviewee forgetting important information cannot be avoided.

Time line:
# Action Time in Weeks SEP13 1 1 2 4 3 Proposal Submission Data Collection and Analysis Report Writing Report Submission 2 3 4 OCT13 1 2 3 4 NOV13 1 2 3 4

References:
http://www.dhl.com.bd/en/about_us/dhl_in_bangladesh.html http://www.dhl.com.bd/en/about_us/company_portrait.html

Abbreviation:
B2B- Business to Business DHLB- DHL Bangladesh DHLE- DHL Express SCB- Standard Chartered Bank