Managing High Performance at Bangladesh

Railway

Course: Managing High Performance

Course Code: HRM 650

Course Conveyor: Dr. Mohammad Khasro Miah

Semester: Spring 2016

By

Asif Waqfiul Haq (ID no.1410377060)

Mujtahida Kawsar (ID no.1421208660)

Nusrat Zaman (ID no.1421578660)

Rezaul Alam Khan (ID no.1420994660)

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Letter of Transmittal
04.04.16

Dr. Mohammad Khasro Miah,

Professor, School of Business,
North South University.

Subject: A report on managing high performance at Bangladesh Railway

Dear Sir,

It is our great honor to submit our report on how high performance can be managed at
Bangladesh Railway, for the completion of this report we have tried to get as much
information as possible on current HR system of Bangladesh Railway for this purpose we had
an interview session with the Deputy Secretary of Bangladesh Railway, and we also took the
help of different internet sources along with the website of Bangladesh Railway.

Through this report we have tried to hold up an actual scenario on BR and we have proposed
different models and different suggestion which will help BR to manage a high performance.
And it will be a pleasure if you find this report useful and informative.

Sincerely,

Name ID Signature

Asif Waqfiul Haq 1410377060

Mujtahida Kawsar 1421208660

Nusrat Zaman 1421578660

Rezaaul Alam Khan 1420994660

Acknowledgement

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Before we start the report it is very important for us to convey our heartiest gratitude towards
some of our inspirations. At first, we would like to thank the Almighty Allah who has enabled
us with the ability to think broadly with our learning and complete this report work.

It gives us immense pleasure in presenting our report on “Managing High Performance at

Bangladesh Railway”. The success of this report is a result of sheer determination and hard
work and constant guidance from our mentor. Therefore, we would like to take this
opportunity to add a special note of thanks for Professor Dr. Mohammad Khasro Miah, who
undertook as our mentor despite his many other academic and professional commitments. His
wisdom, knowledge, and commitment to the highest standards inspired and motivated us.

We want to show our ample gratitude towards Mr. Md. Zakaria Deputy Secretary at
Bangladesh Railway without his insight, support, and information this report would have been
incomplete.

We would like thank Bangladesh Railway for their rich and informative website. Without
proper information the report would have been vague. Finally, we want to add a few words of
appreciation towards North South University for offering this helpful course that immensely
contributes to our learning.

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Executive Summery
The report on managing high performance of Bangladesh Railway has been done for the
partial fulfillment of the course “Managing High Performance”. The purpose of the report is
to identify the tools used for managing high performance at Bangladesh railway. This report
consists of detailed analysis of Bangladesh Railway, the historical background along with the
organizations mission, vision, and philosophy of what kind of project the organization plans
to launch in the future. Bangladesh Railway is the principle transport agency of the country,
and its growth will contribute to the economic development of the country.

The aim is to find out the real scenario of what kind of HR practices are used by Bangladesh
Railway, or is there any actual HR department within the organization. This report not only
emphasizes on the managing high performance but also briefs regarding the Marketing,
Finance, and Accounting strategy of the organization. The organization chart, Trend Analysis,
and SWOT Analysis gives us information about how the organization is performing now, and
what are the strengths that Bangladesh Railway needs to hold on to, and what weaknesses that
needs to be addressed so that performance is managed properly. Such analysis would help to
identify future opportunity and threats which the organization have to dodge.

In the end we will suggest the ways to overcome the shortcomings and introduce Performance
Appraisal, Compensation Package, Motivation Techniques, Sophisticated Hiring, Selection
and Development techniques and some proposed models on how Bangladesh Railway can
adopt in the future so that they can transform into a high performing organization.

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Table of Contents
Letter of Transmittal 2
Acknowledgement 3
Executive Summery 4
Introduction 7
Vision, Mission, and Slogan of Bangladesh Railway 7
Historical Background of Bangladesh Railway 9
Bangladesh Railway Existing Organogram 11
Trend Analysis at Bangladesh Railway 12
SWOT Analysis of Bangladesh Railway 13
Bangladesh Railway Marketing and Finance Strategy 14
Current HRM practices of Bangladesh Railway 15
Overall Performance at Bangladesh Railway 17
The major problems faced by Bangladesh Railway 18
The Progress made by Bangladesh Railway 19
Tools and Technique for High Performance at Bangladesh Railway 20
HR Refashioning at Bangladesh Railway 20
Company Slogans 20
HR Value Chain at Bangladesh Railway 21
HR Planning and Demand Forecasting at Bangladesh Railway 22
Job Design Model for Selecting Right Individuals at Bangladesh Railway 23
Recruitment and Selection at Bangladesh Railway 23
Induction/Orientation at Bangladesh Railway 25
Key Competency Areas for Training and Development at Bangladesh Railway (SPEC Model) 26
Training and Development at Bangladesh Railway 27
Performance Management for Executives at Bangladesh Railway 28
Reward and Compensation 29
Performance Parameter Measuring 29
360 Performance Appraisal System 30
360 Appraisal for Executives 30
360 Appraisal Non Managerial 31
360 Appraisal Technical Staff 32
Compensation Model (Establishing Formal Pay Rate at Bangladesh Railway) 33
Compensation Scheme for Bangladesh Railway 34
Career Development Plan 35
Employee Benefits and Perks at Bangladesh Railway 36
Lean Concept Compliance at Bangladesh Railway 36
360 Degree Waste Minimization techniques of Bangladesh Railway 38
Proposed PDCA Cycle for managing better performance at Bangladesh Railway 40

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Total Quality Management at Bangladesh Railway 41
Brining new form of leadership to Bangladesh Railway: Shared Leadership 43
Towards Self Governance 43
Concluding Remarks 45
Discussion Questions 46
References 47

Introduction
Bangladesh Railway is a Government owned and managed organization. It is the principle
transport agency of the country and covers route of 2,877.10 kilometers, with 25,083 regular
employees. As railway is very important mode of inland transportation linking the entire

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length and breadth of the country, its healthy grow contributes to the economic development
of Bangladesh (http://www.railway.gov.bd, 2014). Railway operation in Bangladesh began
on 15 November 1862 and Bangladesh Railway Authority (BRA) incorporated in 1995 as it
activities got separated from the Ministry. Bangladesh Railway has Railway Training
Academy to ensure safety of railway transportation. And Ministry of Communications to
inspect operations within Bangladesh Railway(http://www.railway.gov.bd, 2014).

Vision, Mission, and Slogan of Bangladesh Railway

Vision:
 To provide safe, reliable, cost efficient and timely rail transportation service all
throughout Bangladesh by modernizing, expanding and maintaining rail system in
a manner that supports government strategies for economic growth, social
development and environmental policy (http://www.railway.gov.bd, 2014).

Mission:
 Develop and maintain railway tracks and station infrastructures throughout the
country.
 Maintain and upgrade locomotives, coaches & other rolling stocks.
 Maintain and modernize both signal interlocking system and Telecom system of
Bangladesh Railway.
 Ensure safe, speedy and efficient train operation.
 Implement Government transport policy in rail sector.
 Procure modern technology including rolling stocks, track materials and signaling
systems.
 Manage land asset of Bangladesh Railway.
 Ensure optimum utilization of Development and Revenue Budget of Bangladesh
Railway (http://www.railway.gov.bd, 2014).

Companies Philosophy:

The government’s primary development objective is to achieve poverty reduction, for which
Poverty Reduction Strategy(PRS) has been adopted. While these provide broad policy
frameworks, Integrated Multimodal Transport Policy(IMTP) would provide a sector specific

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strategy for transport interventions targeted at economic growth and poverty reduction
(www.mor.portal.gov.bd, 2013).

The strategy for poverty reduction are:

Growth Strategy:

 Export-led
 Development of export processing zones for manufacturing
 Provide cost effective, safe and reliable transportation of passengers and freight
(www.railway.gov.bd, 2013).

Transport Strategy:

1. Access to ports, EPZ, markets, etc.

 Access to port and export zones can be achieved through construction of
Padma Bridge between Mawa and Jajira which will open up new
opportunities for Bangladesh Railway for linking Dhaka Division directly
with Jessore and Mongla Port.
2. Improvement of strategic transport corridors
 There is lack of major connectivity throughout the country. Future traffic
volume and new corridors need to accurately planned.
3. Passenger: Intercity
 In formulating the Railway Master Plan, the corridor approach considered
the various infrastructural interventions that would be necessary to attract
long-distance passenger and freight traffic.
4. Freight: Container and selected commodities
 Historically, the railway enjoyed monopoly as a carrier and transported
most of the principal commodities within the country, such as cement, coal,
fertilizer, raw jute etc. With gradual emergence of road transport, the
railway started losing its market of cement, coal, raw jute and sugar cane
transportation.
5. Capacity enhancement
 To meet both passenger and freight carrying capacity, future national and
regional connectivity requirements and the connectivity prospects of

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 neighboring countries, Bangladesh Railway must convert its network into
Broad Gauge all over the country.
6. Enhance competitiveness of railway
 The Padma Bridge at Mawa – Jajira must have provision for a BG Main Line
Standard (BGML) rail tracks. After completion of this mega project
Bangladesh Railway will have to establish direct connection between Jessore,
Khulna and Mongla Port. This will ensure freight traffic to and from India (via
Benapole and Darshana) will find a much shorter route to Dhaka
(http://mor.portal.gov.bd, 2013).

Historical Background of Bangladesh Railway

Year History
1862 Bangladesh Railway operation began on 15 November 1862 when 53.11
kilometres broad gauge line were opened for traffic between Dorshona
of Chuadanga District and Jogotee of Kushtia District.
1885 14.98 km meter gauge line was opened for traffic on 4 January 1885.
1891 In 1891, the construction of then Bengal Assam Railway was taken up by
the British Government assistance but that was later on taken over by the
Bengal Assam Railway Company.
1895 On 1 July 1895, two sections of meter gauge lines were opened
between Chittagong and Comilla, a length of 149.89 kilometers and
between Laksam Upazila and Chandpur District, a length of 50.89 kilometers.
1947 At time of the partition of India in 1947, Bengal-Assam Railway was split up
and the portion of the system, about 2,603.92 kilometers fell within the
boundary of then East Pakistan and control remained with the central
Government of Pakistan.
1961 1st February 1961, Eastern Bengal Railway was renamed as Pakistan Eastern
Railway.
1962-63 In 1962, the control of Pakistan Eastern Railway was transferred from the
Central Government to the Government of East Pakistan and placed under the

management of a Railway Board with the effect from the financial year 1962–
63 by the presidential Order of 9 June 1962.

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 2005 As of 2005, the total length of railroad is 2,855 kilometers. Of that, 660 km
are broad gauge tracks, 1,830 km are meter gauge tracks and 365 km are dual
gauge tracks.
2007-08 On March 2008, the broad gauge reached Dhaka.
2012-13 Railway master plan to remove poverty through improving growth and
transportation strategy.
2014 Construction of double line between Tongi & Bhairab Bazar with signaling
system. Introduction of Dhaka-Chittagong railway development project.
2015-16 Construction of new railway line from Ishurdi to Dhalarchar via Pabna and
rehabilitation of Laskham-Chandpur section.

(www.railway.gov.bd, 2007)

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Bangladesh Railway Existing Organogram

(www.railway.gov.bd, 2015)

Trend Analysis at
Bangladesh Railway
Average distance travelled:

The average distance travelled by a passenger increased from less than 46km (in 1970) to
more than 99km (in 2005). This is mainly because more passengers are now using long haul
Inter City (IC) trains. The bar chart below
shows how Bangladesh compares with other
countries regarding average lead in passage
traffic.

(www.data.worldbank.co, 2005)

Growth in Traffic:

Analysis further revealed that overall

passenger traffic in BR has grown only very
slightly over last 10 years (an average of
0.65% per year). The growth has been slow
mostly because of the decline in local and
branch line passengers over the last ten years.
But compared to this, the Inter-City passenger
traffic has grown at 3% per year. The loss of passenger traffic along branch lines has been
partly due to reduced railway services and closure of many branch lines as well as stiff

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competition from road transport over short distances, where frequent bus services are
available now.
Strength Weakness
Hire people from any academic background
No human resource department
Own training institute Ministerial involvement
Government supported Rigid quota system in recruitment
Infrastructure and resources

Opportunity Threat
Wide scope for establishment of skilled
Lackemployees
of transparency in recruitment procedure
Introduce reward system Highly bureaucratic complications
Self-governance Unlawful political influences

(http://mor.portal.gov.bd, 2013)

SWOT Analysis of Bangladesh Railway

The Railway department can hire from any academic background starting from SSC to
graduation except for technical posts. After recruitment they are sent to the Bangladesh
Railway training academy for two years course. Bangladesh Railway receives significant
financing from the government each year. Bangladesh Railway has enough amount of land
allocated for the organization which can be utilized to establish good infrastructure for the
future. The organization does not have any particular human resource department, they have
administration department for recruitment and selection procedure. The administration
department cannot hire without the approval from the ministry. They have quota system from
government which needs to be strictly followed.

The organization has both on and off the job training program which can be used to build
skilled workforce. They can establish performance based reward system which can motivate
employees. The organization can be established as a self-governed organization to become

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more efficient. The lack of transparency in recruitment and selection procedure and
bureaucratic complexities at all operational stages possess a big threat for hiring fit
individuals for the job. Recruitments are being made by the means of advertisement to the
print media, but at the end of the day majority of the recruitments are made by the referral
from the ministry and top level executives.

Bangladesh Railway Marketing and Finance Strategy

Marketing Strategy:

1. Through E-ticketing & SMS-Ticketing procedure

Bangladesh Railway has grabbed the attention of higher
class people. Now using internet people can book and
E-ticketing
cancel their tickets. Both services have increased people’s & SMS-
convenience. ticketing

2. Rail-tracking: For the ease of passengers BR has

introduced sms tracking of the trains. Through texting BR
Marketing
train position and delays can be foreseen.
Strategy
3. Feedback: BR has introduced passenger feedback system
in their website. This particular marketing strategy is used
Rail-
to take actions based on passenger complaints tracking
Feedback

(www.railway.gov.bd, 2013).

Financial Strategy:

Bangladesh railway has embarked upon a comprehensive Railway Recovery Program (RRP)
in order to improve its financial performance through increased efficiency and cost reduction.
The key elements of RRP are:

1. Improving labor productivity primarily by reducing surplus employees.

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 2. Reducing loss incurred on different services by closing a number of losing branch
lines, stations, sheds, depots etc.
3. Improving operational efficiency through optimizing the use of fixed and financial
assets.
4. Making the railway more responsive to market needs through organizational reforms,
incorporating structural changes and sound business practices.
5. Exploiting commercially surplus lands and other capacities of railway.
(www.slideshare.net, 2009)

Current HRM practices at Bangladesh Railway

The organization has certain HRM practices in order to carry out day to day operations. In
terms of training, each driver goes through more than ten years of on the job training as
assistant driver in order to gather and develop skills to become train driver. Since there is no
theoretical course available to gather comprehensive knowledge, on the job training is the best
learning tool for such highly technical role. For other staff of Bangladesh Railways, the
Training and Development Institute provides regular training to its employees. Such practices
are effective to some extent at maintaining stronghold of technical knowledge. Unfortunately
training programs are not followed up thus it is impossible to evaluate the effectiveness of
such programs.

Inefficiency in the Recruitment Process

 The authorities at Bangladesh Railways describes the organization as “state within

state’. The organization now holds 900 different type of ranks within the organization.
The nature and complexity of such system can result in inefficiency and thus burden
the company’s recruitment and selection procedure. The post of “call man” which
used to be a legitimate job before developed telecommunication was available. The
duty of the call man was to run to the residences of railway staff to inform them of any
rising emergencies.

Quota for Selection and Recruitment

 For selection and recruitment, the government has predetermined quota for each
department. The government requires each department within Bangladesh Railway to
hire specific number of individuals from each district. There are also quotas regarding

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 freedom fighters, individuals with physical disabilities, women etc. Often abiding by
the quota system results in unqualified individuals being hired.

Irregularities of Selection Process

 In recent times there have been allegation of irregularities in selection process

including an incident where a railway employee has been jailed for recruitment related
corruption (www.thedailystar.net, 2015). Key weaknesses in the hiring systems
include most selection is done solely based on verbal interview. In addition, due to the
government influence on the company many recruits are made due to illicit external
influences.
Lack of Merit Based Bonuses and Compensations
 The organization currently does not hold any form of bonus/compensation package.
Therefore, there is little or no incentive amongst majority of employees to perform
well. In addition, promotions are done in accordance to seniority, therefore there is
little incentive amongst employees to be performance driven.

Poor Performance Review Method

 In regards to performance review, there is only one-way assessment (from superior to

immediate subordinate) in order to evaluate performance. The company also hold
minimal ability to enforce punishment for poor behavior or performance. For e.g. in
cases where employees are identified with poor behavior, the management might find
it difficult to prohibit yearly increment for such individuals due to the limited authority
of the governing body. All promotion within the company is done based on seniority.

Poor Customer Service

 Customers are treated as mere passengers, and no effort is made to improve the
customer experience. However, the company holds special quotas for members of the
government. On each carriage the railway authority reserves certain number of seats
for high up government officials for about four to six hour before departure, while
another set of seats remain reserved for about one hour prior to departure for members
of the parliament on each route. Such practices result in inefficient usage of the
company’s resources and amount to worsening of satisfaction for regular clients.
Weak Governing Body

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  Currently there are about 100 idle stations, due to lack of station masters. Although
post for station master is vacant, but since the railway authority needs to take approval
form different branches of the government for reinitiating services, the process is
made unnecessarily
complicated. Nevertheless,
many unprofitable routes
have been initiated solely to
meet political agenda.

Overall Performance at Bangladesh Railway

Summary of Financial Statement

At present Bangladesh Railways is in poor condition and inefficiently managed. Since the
partition of India in 1947, there was hardly any expansion of the railway in East Pakistan,
while the road network expanded tremendously. Since the birth of Bangladesh in 1971,
instead of constructing new railways lines, some of the branch line railway sections were
declared redundant and subsequently closed and no proper attention to maintaining the
existing assets were given. Now Bangladesh Railway is facing two major threats to its long
term survival: progressive withdrawal of government funding which has been necessary in the
past to sustain railway infrastructure and services, and the relentless increase in competition
from other transport modes, especially from road transport (www.abd.org, 2015)

Critical analysis of the efficiency at Bangladesh Railway identifies the dramatically

worsening operating ratio over the last decades. The
(www.railway.gov.bd, 2013)
pessimism as to whether BR can practically turn itself
around is based on a number of considerations. The
three critical ones appear to be:

 The ongoing decline in BR’s operating performance.

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  BR’s failure to meet its action plan commitments on reform processes; and BR’s
ability to get the political attention to resolve its problem (http://sr-milan.tripod.com,
2005).
 Current poor performance is usually a reflection of poor operating performance due to
lower productivity of both physical and human capital cause.

Major problems faced by Bangladesh Railway

 Lack of manpower
Bangladesh Railway administrative officials are unable to hire new employees due to lack of
proper selection procedure example, result of which is that several stations remain closed due
to lack of station masters.

 Lack of qualified manpower

Due to quota system of Bangladesh the organization at times hire disable people or people
lacking adequate skills. At the same time due to pressure from different political leaders BR
hires unqualified employees.

 Lack of coordination
Bangladesh Railway is fully bureaucratic organization. Therefore, even when higher
authorities behave in an unethical or improper manner, subordinates are forced into following
their commands.

 Lack of government funding

Due loss incurred by government in Rail Sector, the funding provided by government isn’t
enough to carry out Bangladesh-India rail project. At the same time government is prioritizing
road communication, hence greater amount of fund is being diverted towards developing road
infrastructure.

 Lack of Modernization & Development

Bangladesh Railway must switch to broad gauge all over the country, even though the
conversion will require huge amount of investment but can be made feasible through phase
wise conversion (www.railway.gov.bd, 2013).

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  Misuse of pass tickets
Higher authorities are misusing their pass tickets and normal passengers are not getting
tickets.

 Black tickets:
Authorities do no take actions against those responsible for selling upgraded black tickets.

 Lack of train maintenance:

Railway service is getting worse day by day due lack of maintenance. There are broken
windows and sits and torn apart interiors. Maintenance fund is often misappropriated.

The Progress made by Bangladesh Railway

1. The Bangladesh Railway Reform Project supports implementation of sector reform
and institutional strengthening actions agreed with the government and Bangladesh
Railway. It encompasses (i) restructuring BR into lines of business (LOB) structure;
(ii) preparing an asset register for BR; (iii) improving financial governance,
management, and accounting systems; (iv) improving human resource management
and utilization; and (v) transforming BR into a government-owned corporate entity,
while enhancing the rail safety regulatory framework (www.adb.org, n.d).

2. The Bangladesh Railway Sector Investment Program MFF is structured such that the
reform project will provide continuous support to implement the agreed upon reform
agenda. The reform and the investment projects are integrated as per approval of
subsequent branches of investment subprojects. It is dependent on the implementation
of specific reform actions agreed upon in the railway reform action plan in the FFA
(www.adb.org, n.d).

3. Loan of 2317 thousand crore taka for the Reform Project finances (i) consulting
services to implement the reform actions; (ii) procurement of computer hardware and
software needed to implement the financial management, accounting, and human
resource management systems for enhancing financial and human resource
governance; (iii) equipment to improve rail safety; and (iv) consulting services for
performance and procurement audits (www.adb.org, n.d).

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Tools and Technique for High Performance at Bangladesh
Railway
As a part of the project we have identified key poor performing elements within the
organization. In this section we will discuss complete overhaul measures necessary to
transform Bangladesh Railway into a high performing organization.

HR Refashioning at Bangladesh Railway

 Corporate Culture: Mutual trust and respect, honestly, non-stop innovation, safety
and ambition for continuous improvement.

 Mission: To build a timely, cost efficient public transportation system for all classes
of individuals. Building a highly motivated workforce to support its continuous
operations. Bangladesh Railway will align its performance measures to meet the top
safety and schedule standards.

 Vision: Expand rail transport to all parts of Bangladesh with easy access for all
customers, to transform Bangladesh Rail into a key part of the country’s
communication infrastructure, and to transform Bangladesh Railways into a world
class transportation service.

 Organization’s Philosophy: Aim to strictly prohibit scopes of favoritism, maintain

disciple among its workforce, control discrimination and award loyal and
commitment.

Company Slogans
Slogan 1: আমাদের ট্রেন! আমাদের গ্রাহক!

Slogan 2: Customer first!

Slogan 2: আমাদের পরিবহন

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Slogan 3: সারাদেশে গ্রাহক সেবা

HR Value Chain at Bangladesh Railway

Mission,
Work Force: Vision
Performance andCapable,
driven, Philosophy
Flexible, HR
Recruitment People Outcome
Communic Career Compensat Performanc
Job Design Motivated, Engaged, right fitDevelopmen
for job, innovative, Activi
& Selection ation ion e Appraisal
ethics, fair treatment, justice t
ties

Employee Leaders: Role model, Shared

behave cooperatively,
Employee Continuous
PDCA Organizational Outcome TQM
Services PerformanceInvolvement Leadership
driven, Lead Change, Build Learning
Teams

Customer Satisfaction

At Bangladesh Railway, company values should be incorporated into its mission, vision and
philosophy. The next step is to implement its vision and mission consistently at all operational
stages through HRM related activities which include job security, recruitment and selection,
communication, career development, compensation, performance appraisal, employee
services, PDCA, employee involvement, shared leadership, continuous learning, and TQM.
From these HR activities we derive people outcome, which affects directly the workforce and
its leaders. Leaders are expected to develop characteristics including being role models, be
cooperative, and lead changes, while regular employees are expected to develop
characteristics including being performance driven, motivated, innovative, engaged, comply
to fair treatment and justice etc. The final outcome of the people and organization changes is

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to build a transportation system that is geared towards achieving continuous customer
satisfaction.

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HR Planning and Demand Forecasting at Bangladesh Railway

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 Analyzing Forecasting Planning Implementing

External Human Resource Strategic Change

Environment Planning
PDCA/TQM
Demand
Selection and Processes Changes
Internal
Recruitment
Environment
Forecast Operational

Finance and Budget Changes

Internal Workforce Supply

Evaluation and
Feedback
Logistical Support
External Workforce
Appraisal/Compen
sation

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First step of high performance working model both internal and environment analysis needs to
be done. A thorough SWOT analysis should identify the company’s strength and weaknesses.
Once these factors are identified, the organization needs to sets its goals and dimension (based
on the HR refashioning of goals, philosophy and mission previously suggested). Once the
SWOT and organizational directions are finalized, next step is forecasting.

At forecasting stage, research is done to find out any discrepancies between supply and
demand in the economy. Once equilibrium demand and supply are confirmed, a forecast is
issued. After forecasting, in the planning stage factors including human resource
development, selection and recruitment, employee’s personal development, financial planning
and logistical support is finalized. The final step of the model is implementation. In this stage,
Bangladesh Railway’s strategic changes are introduced, processes and organizational changes
are initiated, PDCA and TQM are implemented and the final feedback mechanism is put into
place to continuously monitor organizational performance. In additional,
appraisal/compensation packages are also introduced to guide employees with career
development.

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Job Design Model for Selecting Right Individuals at Bangladesh Railway

Interview Existing
Employee

Identify Skill
Requirements

Determine Job
Specifications
Job Design Recruitment
and Selection
Expected tasks and
responsibilities

Create a Job
Description

First step of job design involves interviewing existing employees to determine what skills and
tools are necessary to carry each job successfully. Once comprehensive skill requirements are
identified then it is possible to create a detailed job specification. To support “job
specification” a supporting list of “expected tasks and responsibilities” are provided, and the
final outcome of the previous four process is to create a final job description. The job
description is then used to create the final job design. The job design should exchange
continuous feedback between recruitment and selection procedures. In this way, it will be able
to ensure job designs are continuously updated to comply with company’s ongoing
requirement.

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Recruitment and Selection at Bangladesh Railway
As previously mentioned all recruitment is done based on quota system, this leads to a
situation where underqualified individuals are prioritized over those who are more suitable for
the job. In addition, the organization currently holds several vacant posts that needs to be
urgently filled. However, since many of these recruiting requires permission from different
government bodies, urgent recruitment might often take years. Selection is done based on
political influences.

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 Therefore, a sophisticated method of selection and recruitment as prescribed in the model
below is recommended.

 Recruitment need to be done through placing ads on main stream

news papers, online editorials and job searching platforms.
Application should be accepted in confidential and anonymous
manner. Standardize application criteria should be published for each
job grade based on job specification.
 Screening should be done based on qualification criteria only that are
mentioned in the job design. Only application id number should be
used and no personal detail including name, address should be
disclosed. Applicant’s merit should be priority. Favoritism, sectarian,
ethnic and gender discrimination should be prohibited.
 Written examination should be based on necessary skills and Sourcing
knowledge. This should again be based on job skills requirement.
Video surveillance of examination venue needs to be implemented. Screening &
Strict law and order in assessment procedure of exams. Shortlisting
 All interviews have to be video documented. (Currently all
interviews and undocumented.) Interviews should have pre Written Exam
determined criteria and questionnaire. No scope for generalized
interview. To be eligible for interview applicant must obtain minimal
written examination score. Interview
 Placement should be done entirely based on scores from written and
verbal examination. Placement should take into consideration
Placement
alignment of applicant’s skill and job requirements.
 Based on skill gap assessment employees should be redeployed to
most suitable jobs. Redeployment

Induction/Orientation at Bangladesh Railway

The following topics should be covered at introduction/orientation ceremony of new recruits
to the company

The aim of the employee orientation

program is introducing the new27recruits
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with existing employees, other new

recruits and managers. This is done to
 Introduction to Bangaldesh Introduction of companies
Railway top management

Inform Companies values, Message from head of

mission, and philophy department

Ethics and Desciplinary Socializing with coworkers

measures and other new recuits

Introduction to
Facilities Tour
organziational structure

Company Policies and

Snack and Refreshments
Routine

Safety and Hazards Question and Answer

Employee Benefit
Inofrmation

Compensation and Career

Development

safety hazards and company ethics. Employee benefits and services, compensation and career
development pathway are also introduced to make new recruits feel motivated. The
orientation ceremony ends with facilities tour, snacks and refreshments and a session of
question and answer to address any queries.

28 | P a g e
Key Competency Areas for Training and Development at Bangladesh Railway
(SPEC Model)

Stewardship While observing the nature of the staff both

at Komlapur Railway Station and
Bangladesh Railway Administration
Personal Mastery
Building it was apparent the level of
competencies within the functional body
Employee Creativity
were insignificant. We have identified four
employee level competencies that the
Customer Service
company need to build in order to facilitate
its transformation into a high performing
 Stewardship
organization.
Stewardship can ensure that employees are able to comprehend their significance
within the company and thus are motivated to deliver optimum performance. It
develops employee attitude which attributes to caring both for clients and co-workers.
Employee stewardess should be encouraged and be frequently rewarded.
 Skills and Mastery
Skill and mastery should consist of continuous personal development and profound
knowledge to carry out necessary duties, leading to superior performance. Required
skill and skill gap should be continuously monitored and be swiftly corrected if
necessary.
 Employee Creativity
Employee Creativity might seem as far fetched milestone for the company,
considering its current culture, however the company in the medium run must develop
provision for employees to fully utilize their creativity. This should encourage inflow
of innovative ideas, that would support overall organizational progress and output. The
concept of shared leadership introduced later on should be complementary to this
behavior.
 Customer service
Key observations from visiting Bangladesh Rail was the company over the years have
developed a perception where customers are only considered as passengers. For any
organization such mindset is likely to be symptom of deeper internal failure.
Prioritizing customer service would mean understanding customer expectations, where

29 | P a g e
possible exceed customer expectations and use effective customer feedback
mechanism.

30 | P a g e
Training and Development at Bangladesh Railway

31 | P a g e
 Skill Assessment Revise Job Description

Theoretical Training Identify Skill Gap

Standardized Written
Examination

Four Key
Competencies
Model(SPEC)
On the Job Training
Continuous
Monitoring and
Development
Performance
Evaluation

Feedback

This model empathized continuous all year around training and

employee development. This is to ensure that performance improvements are made every day
of the year. Firstly, the model starts with skills assessment of individual worker. Assessment
in typically done based on existing job description. Based on necessary skill requirement
theoretical training (theoretical training emphasizes on core competencies identified in our
SPEC model) is provided, which is followed up by written examination to determine the
quality of learning. This is followed by on the job training for further training, at the end of
which performance evaluation is made. This performance evaluation is used to provide
feedback which inputs information at three different stages. Firstly, it is used for the purpose
of continuous monitoring and development purpose which is again applied at on the job
training and performance evaluation stage. The feedback is also used to identify skills gap,
based on which job descriptions are revised. Once job description is updated, it forwards it
recommendations so that skill assessment criteria can be revised.

32 | P a g e
Performance Management for Executives at Bangladesh Railway
Graphic Rating Scale of Bangladesh Railway

Appraise Name Mr. Motaher Hossain

Designation Assistant Officer

Date of Joining 03.06.13

Signature
Appraisal Criteria (1=poor, 2=mediocre, 3=satisfactory, 4=good, 5=excellent)

Knowledge 1 2 3 4 5

Ability

Skills

Team Work

Communication

Client Relationship

Organizational Planning

Adaptability

Leadership

Decisiveness

Name of Appraiser:

Designation and Department:

Signature with Date:

The above can be used to evaluate performance of top executives.

Reward and Compensation

The management at Bangladesh Railway does not have reward/compensation package. In the
instance of outstanding performance, the management’s only means of compensation is

33 | P a g e
giving formal recognition to any outstanding on duty service. However, in order to encourage
good performance, financial incentive or promotion based compensation is necessary. Within
the organization’s current organizational framework, there is no provision for such practices.
We have developed a three step model, starting with Performance Parameter Model, followed
by 360 Performance Appraisal module for executives, non executive and non technical staff
and the final section is on compensation plan and a module for employee perks and services.

Performance Parameter Measuring

This performance parameter setting model uses SMART principles to determine level of
performance criteria for each employee. To determine the performance standards comparison
should be made from three different sources.

 Industry Benchmarking
Performance is compared to others in the industry in similar posts.
 Internal Target
Performance is measured against targets set by the company management.
 Time Series
Employee’s his or her own performance is compared to a past period.

34 | P a g e
 Specific Measurable Achievable Realistic Time
Targets Goals aims Specified

Benchmarking Internal Target Time Series

In the above model each employee is set performance goals based on the five specific
objectives. Employees must be informed about exact nature of task and duty he or she is
expected to perform, the expectations set must be measureable in some form, employee
performance should also be achievement within his or her given skills set, performance
targets should be realistic and must be time specified (must be fulfilled within given amount
of time).

35 | P a g e
360 Performance Appraisal System at Bangladesh Railway
360 Appraisal for Executives

Excellent = 3 points, Acceptable = 2 points, Mediocre = 1, Insufficient = 0

# Criterion 360 Score(1-100) Performance Grading Points

1 Communication Ability to effectively communicate with Excellent: 85+, Acceptable: 75-

everyone in the company. Able to 85,
effectively convey messages clearly,
Skills and willing to listen to others. Mediocre:70-74 , Insufficient: <70

2 Problem Able to handle critical situation Excellent: 90+, Acceptable: 80-

with integrity. Offer dynamic 90,
Solving
solutions to new problem.
Mediocre: 70:79, Insufficient: <70

3 Team Work Able to work with other in the Excellent: 85+, Acceptable: 75-
management team. Ability to accept 85,
new ideas and effectively collaborate.
Mediocre:70-74, Insufficient: <70

4 Ethics Avoid malpractices both for personal Excellent: 95+, Acceptable: 85-95,
and organizational interest. Withstand
from applying negative influences Mediocre: 80-90, Insufficient: <80

5 Control Able to lead in with core goal and Excellent: 90+, Acceptable: 80-
ambition in mind. Ability to 90,
motivate the entire workforce.
Mediocre: 70:79, Insufficient: <70

6 Respect for others Treat coworkers with due respect. Excellent: 85+, Acceptable: 75-
Refrain from gender 85,
discrimination, or other forms of
harassment. Mediocre:70-74, Insufficient: <70

7 Cooperation Willingness to help other in the Excellent: 90+, Acceptable: 80-

surrounding environment. 90,

Mediocre: 70-79 , Insufficient: <70

8 Decisiveness Able to make firm decision within Excellent: 90+, Acceptable: 80-
reasonable time frame. 90,

Mediocre: 70:79, Insufficient: <70

9 Response Time Response to issues/conflict within Excellent: 85+, Acceptable: 75-

reasonable time. 85,

Mediocre:65-74, Insufficient: <65

10 Motivational Able to motivate others Excellent: 90+, Acceptable: 80-

90,
Skills
Mediocre: 70-79 , Insufficient: <70

11 Servant Willing to help others in the Excellent: 90 +, Acceptable: 80-90,

Leadership company, and considering others
interest before self. Mediocre: 70-79, Insufficient: <70

Total Score
360 Appraisal Non Managerial

Excellent = 3 points, Acceptable = 2 points, Mediocre = 1, Insufficient = 0

36 | P a g e
# Criterion 360 Score Performance Grading Points
(1-100)

1 Attendance Number of day present(in percentage) Excellent: 95+, Acceptable: 90-95,

Mediocre: 80-89, Insufficient: <80

2 Alertness Responsiveness at work Excellent: 90+, Acceptable: 75-90,

Mediocre: 60-74, Insufficient: <60

3 Problem Able to tackle challenge in reasonable Excellent: 95+, Acceptable: 80-95,

time frame. Poses sufficient skills
Solving Mediocre: 70-80, Insufficient: <70

4 Attitude Motivation and willingness to Excellent: 90+, Acceptable: 80-90,

participate
towards Mediocre: 70-79, Insufficient: <70
work

5 Cooperation Willingness to help out other and Excellent: 90+, Acceptable: 85-90,
communicate problems. Escalate
with matters to superiors, while keeping Mediocre: 47-84, Insufficient: <75
coworkers subordinates informed.

6 Respect for Treat coworker and customers with due Excellent: 95+, Acceptable: 90-95,
respect
others Mediocre: 75-89, Insufficient: <75

7 Technical Poses sufficient skill. No sign of skill Excellent: 80+, Acceptable: 70-80,
gap in performing duties.
Skills Level Mediocre: 50-69, Insufficient: <50

8 Efficiency at Performs all duty within reasonable Excellent: 90+, Acceptable: 75-90,
time. No evidence of procrastination.
work Mediocre: 56-74, Insufficient: <65

9 Diligence Dedication to work. Excellent: 90+, Acceptable: 85-89,

Mediocre: 47-84, Insufficient: <75

10 Time Able to manage time effectively and Excellent: 95+, Acceptable: 90-95,
fair distribution of time to all necessary
Managemen duties. Mediocre: 80-89, Insufficient: <80
t

11 Motivation Overall level of motivation at work. Excellent: 85+, Acceptable: 75-85,

Level Mediocre: 65-74, Insufficient: <65

Total Score

360 Appraisal Technical Staff

Excellent = 3 points, Acceptable = 2 points, Mediocre = 1, Insufficient = 0

# Criterion 360 Score Performance Grading Points

(1-100)

1 Attendance Number of day present Excellent: 95+, Acceptable: 90-95 ,

(in percentage) Mediocre: 80-89 , Insufficient: <89

2 Technical Skills level of the employee Excellent: 90+, Acceptable: 80-90,

37 | P a g e
 Skills Mediocre: 70-79 , Insufficient: <70

3 Problem Able to tackle challenge in reasonable Excellent: 90+, Acceptable: 80-90,

Solving time frame. Poses sufficient skills
Mediocre: 70-79 , Insufficient: <70

4 Team work Working with other members of the team Excellent: 90+, Acceptable: 80-90,

Mediocre: 70-79 , Insufficient: <70

5 Responsivene Time taken to resolve problems Excellent: 90+, Acceptable: 80-90,

ss Mediocre: 70-79, Insufficient: <70

6 Time Able to manage time effectively and fair Excellent: 90+, Acceptable: 80-90,
Management distribution of time to all necessary
duties. Mediocre: 70-79 , Insufficient: <70

7 Respect for Is the person able to respect everyone Excellent: 95+, Acceptable: 90-95,
others else in the organization.
Mediocre: 75-89, Insufficient: <75

8 Preparation The level of preparation the employee has Excellent: 90+, Acceptable: 80-90,
in dealing with situation. Appropriate
tools and apparatus Mediocre: 70-79 , Insufficient: <70

9 Dedication to Employees continuous willingness to Excellent: 95+, Acceptable: 85-95,

TQM uphold the TQM principle at all times.
Mediocre: 75-84 , Insufficient: <75

10 Emergency The ability to deal with unexpected Excellent: 90+, Acceptable: 80-90,
emergency situations.
Mediocre: 70-79 , Insufficient: <70

11 Leadership Ability to motivate and effectively Excellent: 70+, Acceptable: 60-70,

manager his or her team members.
Mediocre: 50-59 , Insufficient: <50

Total Score

Compensation Model (Establishing Formal Pay Rate at Bangladesh Railway)

Survey private
Transportation
Sector
Determine local
Wage Rate

Survey government
sector Jobs

38 | P a g e
 Identify Specific Assign certain Based on number of
Evaluate Skill
Compensable and number of points to point assign each
Requirement of
Based group Skill each compensable job into eight
Each Job on wage
survey and number setsFactors factor categories.
of compensable
factors assign pay
scale to each job

Finalize Pay Rate within each

grade, by looking considering
employee performance
evaluation and the critical
nature of job performed.

First step in the model is to determine local wage level by

surveying government sector jobs and local transportation sector. Skills requirement
evaluation is done for each job, and within each job compensable factors are identified. Each
compensable factor is given a number of points, based on which the wage level of each job is
set. Once pay scale is assigned to each job, final wage tuning can be done based upon on the
job performance and other situational consideration, as well the output from the 360-degree
appraisal mechanism. Company chiefs and department heads can use the results from 360-
degree evaluation to reconsider wages and job rotation.

Compensation Scheme for Bangladesh Railway

The below chart consist of basic salary ranges for each category of employees, as well as
provide guideline for annual increment, bonuses and promotion based on “points” from 360-
degree evaluation

# Executive Level Basic Salary Annual Festival Promotion

Increment Bonuses (Eid
(Bangladeshi ul Adha, Eid
Taka) ul Fitr)

1 Chairman, CEO, 120,000- 27-33: 10% 30-33: 200% Consecutive three years
Board of increment bonus 27 points or above
180,000
Directors
22-26: 7% 22-29: 100%
bonus

39 | P a g e
 <22: N/A <22: N/A

2 Top 70,000- 27-33: 10% 30-33: 200% Average score of 27

Executive(depart 120,000 increment bonus points for three years,
mental and with no one year less
regional chiefs, 22-26: 7% 22-29: 100% than 25 points.
executive bonus
<22: N/A Promotion held up if
engineers)
<22: N/A below 22 points

3 Mid Level 45,000- 27-33: 10% 28-33: 200% 25 points and above:
Executives 70,000 increment bonus promotion every 3 years
(Stationmasters, for top executive rank
General 22-26: 7% 22-27: 100%
Managers) bonus Promotion held up if
<22: 5% below 22 points
<22: 50%

4 Low Level 30,000- 27-33: 10% 28-33: 200% 22 points and above:
Managers 45,000 increment bonus promotion every 3 to 4
(assistant years
mangers, deputy 22-26: 7% 22-27: 100%
managers, bonus <22 points: promotion
<22: 5% held up
accountants, train
<22: 50%
drivers)

5 Clerical(ticket 22,000- 27-33: 10% 28-33: 200% 22 points and above:

tellers, cashiers, 30,000 increment bonus promotion every 2 to 3
ticket checkers) years
22-26: 7% 22-27: 100%
bonus <22 points: promotion
<22: 5% held up
<22: 50%

6 Supervisors and 15,000- 27-33: 10% 28-33: 200% 20 points and above:
Helpers 22,000 increment bonus promotion every 2 to 3
years
22-26: 7% 22-27: 100%
bonus <22 points: promotion
<22: 5% held up
<22: 50%

7 Security 12,000- 27-33: 10% 28-33: 200% 20 points and above:

Personnel 15,000 increment bonus promotion every 2 to 3
years
22-26: 8% 22-27: 100%
bonus
<22: 5%
<22: 50%

8 Cleaning Staff 9000-12,000 27-33: 10% 28-33: 200% 20 points and above:
increment bonus promotion every 2 to 3
years
22-26: 8% 22-27: 100%

40 | P a g e
 <22: 5% bonus
<22: 50%

Career Development Plan at Bangladesh Railway

A career development plan can be established from the above compensation scheme at
Bangladesh Railway. The section provides clear guideline in terms of promotion
opportunities. However, in cases where promotion opportunities are limited, individuals with
highest average three year scores should be prioritized for promotion. Under circumstances
where no employee has achieved the required number of points, external recruits need to be
done in order to fulfill vacant posts. Overall, promotion is entirely dependent on consistently
achieving good scores on the 360 appraisal system.

41 | P a g e
Employee Benefits and Perks at Bangladesh Railway

Group insurance is to
cover for unexpected
circumstances such as
death or serious injury
For all employees regardless of the amount of incurred while on duty.
Group Insurance
time working for the company This is essential to ensure
employee’s peace of mind.
The credit facilities are
Low interest home loan credit facilities should likely to be a key perk, as
be provided to those who have been with the it will help gain loyalty
Credit Facilities company for more than ten years. from workers who wishes
to fulfill their dream of
owning their own
For employees to be able to confidencially accommodations using
infrom any malpractices or misconduct
Confidential
Employee Helpline affordable credit line.

Confidential employee
Those who have shown trememdous honesty helpline is introduced to
and been loyal servant to the company shoud counter issues of bullying
Loyalty Reward be given financial reward or to bring spotlight on
unethical activities.
Guaranteed pension for those who have remained Loyalty reward is another
within the company for more than 30 years tool to encourage good
(unless they have been subject to criminal
Pension
offenses) behavior and consistent
performance. Pension
scheme is already a part of
Health insurance for every employee the company. This should
Health Benefits be maintained at all times,
despite cost cutting
measures taken by the
Immediate family members to enjoy free trip all government.
Free ticket for family year around.
members

Lean Concept Compliance at Bangladesh Railway

Self
Sort Simplify Sweep Standardize
Discipline

42 | P a g e
Lean management would significantly reduce complexities and boost overall performance.
Under the five lean aspects sort, simplicity, sweep, standardize, and set discipline following
recommendations can be made based on the current environment at Bangladesh Railway.

 Sort: eliminate unproductive routes, and employee posting that are no longer required
 Simplify: a complete blue print of all resources available need to be made. Inventories
need to be digitalized for easy access and monitoring
 Sweep: trains need to be clean and hygiene must be a key priority at all times. Offices
needs to remain clean as well. Routine check on maintenance needs to be implemented
 Standardize: there needs to be visual checks for maintenance staff. Routines and
procedures must be kept in companywide standardizes format.
 Self-Discipline: employee needs to be trained in areas of organizational discipline and
house keeping

Bringing the above changes would transform Bangladesh Railways into a more desirable
employee friendly place to work in. This should boost staff moral and customer satisfaction.

43 | P a g e
 360 Degree Waste Minimization Techniques of Bangladesh Railway

Level 1

Level 2

Level 3

44 | P a g e
 Strategy, Objectives, & Goals

Labor Complexity Idle Material Space

Wastage
Overproduction Energy Time Rework
Factors

Safety Hazard

Reduced
Resource Usage

Resources for Increased Lower cost and Interim

Growth and organizational Superior service Development
Expansion Efficiency passed off to
final Customer

Improve
Financial Health

Improve Customer Experience Customer

oriented final
outcome

45 | P a g e
 360 Waste Minimization Model

Level 1 of the model address how the following areas needs to be addressed to reduce
wastage.

 Complexity

The organization suffers from high level of complexity in terms of hiring, training and day to
day administrative tasks. Decision making is made in bureaucratic manner arising
administrative complications. Flatter organizational structure should be adopted assigning
greater autonomy for individual managers over decision making.

 Labor

The workforce is hired using out of date quota system leading to disparity between worker
and job requirements. Hiring should be made through strict written examination that
genuinely verifies the skill and capabilities required for each job.

 Overproduction

Many stations have been put back to services in order to fulfill political agenda, regardless of
the fact such routes often fail to attract sufficient number of passengers and carry further
loses. Trains on these routes carry idle capacity resulting in financial loses. Inefficient routes
should be terminated, and stations that would serve public welfare should be reopened.

 Energy

The company should adapt cost saving and environmentally friendly technology. Most of the
company’s trains are outdated and are subject to high fuel consumption. Investing in energy
saving technology will bring better financial results in the longer run.

 Rework

Poor maintenance causes delay and often trains remain out of service due to faulty carriages
or endangered fish plates. This result in customer dissatisfaction, and loss of the profit as it is
unable to function at peak capacity. Bangladesh Railway needs to installed state of the art
maintenance and fully digitalized signaling system.

 Idle material

46 | P a g e
More than 100 stations are idle due to bureaucratic complexities in hiring proper workforce
required for initiation of services. Restarting these routes will bring in valuable revenue

 Time

Delays should be eliminated to improve customer satisfaction. Reducing delays would also
increase amount of active operation hours.

 Safety Hazards

Improved protocol of fire extinguishing should be incorporated. Railways tracks need to

protected from vandalism. Regular maintenance should be carried out by trained technicians.
This should help Bangladesh Railway protect its valuable assets.

Level 2 and Level 3

Given that the nine waste minimization principles are adapted, this would allow Bangladesh
Railways to reduce resources usage, which will lead to organization wide efficiency and
better financial results. Financial income can be utilized for growth and expansion. On the
other hand, efficient resource utilization would bring down cost of ticket, and improve service
quality. The final effect of which is better customer satisfaction (level 3).

Proposed PDCA Cycle for managing better performance at Bangladesh Railway

Plan Do The PDCA model proposed

BR plans to be again BR needs remove the
one of the major for Bangladesh Railway is
buereacratic
transport selection for
all upper, middle, and management system intended to be simultaneous
lower class people by and shift to a 360
improving efficiency of degree feedback carried out at every stage of
their managament system
operation. The model would
enable create an environment
for continuous improvement to
take place at every
Action
Check organizational level. The
Based on the
BR needs to idenfty the
evaluation and model is also an integrated part
improvements and
feedback BR can take
lacking with the plan
intitiative to start their of the TQM model suggested
that they have
next PDCA cylce by
implemented. Detailed
correcting errors and in later sections. The PDCA
evaluation needs to be
making necessary
carried out
improvements proposed here is meant to be
repetitive, and should be
frequently
47 | P a g e
revisited. The central objective of the model is to improve both quality and organizational
efficiency. At planning stage, detailed mechanism of every activity is set out. At “do” stage
the plans are implemented and put into action. At “check” stage we determine whether our
outcome is consistent with the expected outcome. The final step involves taking initiate to
correct faults within current process, and communicate the changes to everyone in the
company. The particular PDCA model shown above is for the purpose of removing
bureaucratic complexities within the organization.

48 | P a g e
Total Quality Management at Bangladesh Railway

49 | P a g e
 Process Centric
Operation (step
by step input to
output
transformation)

Horizontal Clear
Integration of all Communication
company at all levels
functions
Employee Customer
Involvement Centric
from all levels Results
Strategic Continuous
Approach Improvement
consistent with and
identified Development
objectives Effort

Decision making
fact based and
on consensus
basis

50 | P a g e
Above are guideline and recommendations for enforcing TMQ concept at different levels
within the organization. Such would ensure the company produces top quality services for its
customers. The final outcome of the model is customer centric results, to enhance customer
satisfaction. In order for the model to be successful, it starts with involvement of all
employees within the organization, who plays a contributing role in order to make the model
functional. The strategic dimensions in the model are Process Centric operations which means
the management sees a step by step procedure of how each input will be converted to the
desired output, horizontal integration means all the different units within the company are
able to cooperate and interact with each other for best outcomes, strategic approach means a
well devised plan that would help achieve the final objective and most importantly all
decision making should be based on facts as well as with consensus of all employees. While
implementing these four strategic processes, focus should be on clear communication and a
thrive towards continuous improvement. The final result of the TQM model would be
customer centric output.

TQM Principles Elaboration:

51 | P a g e
 Employee
This to ensure all employees contibute to acheiving success of the
involvement at all model. This is essential in acheiveing proposed TQM objective.
level

Operations need to be planned out step by step, so that there is a

Process Centric clear idea about how the final objective will be acheived. This
includes process from supply chain to sales.

A strategic plan needs to be laid out with the final output in mind.
Stragetic
This should be transparent to all employees so that they can work
Approach towards a common goal.

This is to ensure all departmets can be integrated into decision

Horizonal
making process. This helps to interconnect departments for greater
Integration efficiency

Fact Based This is to avoid subjective decision making and take a more objective
Decision Making approach in guiding the company. This reduces room for error.

Continuous This is the fundamental of any TQM proess to acheive

Improvement improvemement wherever possible

Communication must be both ways, with reduced power gap

Communication between employees. Bottom up communication should also be
incorporated.

Customer Centric Final outcome of the company is to acheive superior service level
Results and customer satisfaction

Brining new form of leadership to Bangladesh Railway: Shared Leadership

Leadership is critical to success of Bangladesh Railway. The suggest form of leadership at
Bangladesh Railway should be “shared leadership”. This concept strictly move away from

Adapting the above

principle will bring
certain development to
the organization.
52 |Firstly,
Page

top leaders will become

more dispensable and
high degree of power gap, and overly complex organization structure

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company which are key factor is growth and innovation. Sharing leadership would also mean
lesser responsibility on one person, and interests of all working groups within an organization
can be reflected. Considering moral and ethical factors, when power is concentrated on any
particular individual or a small group of individuals, such can facilitate unethical behavior and
corruption. However, shared leadership creates organization wide involvement and increases
legitimacy in decision making through participation of managers at every level.

53 | P a g e
Towards Self Governance

Bangladesh Railway currently does not maintain any form organizational practices to ensure
high performance oriented behavior. Primary concern regarding the company’s poor health
and performance, roots back to the nature of its governing system. To facilitate transformation
of Bangladesh Railway into a high performing organization self-governance is crucial.

More autonomy would allow the company to benefit from reduced organizational
complexities. Based on our interview information, the company currently has more than one
hundred idle stations, due to vacant post of stations master. Regardless the government has
provisional allocation for more than one thousand posts to be utilized, however immediate
appointment is nevertheless likely due to the prolonged nature of bureaucratic routes. For the
appointment of each station master, the company requires approval from several branches of
the government. Altering the form of governance to self-governed would allow a functional
HRM department to carry out management functions with ease and greater efficiency. On the
other hand, self-governance is likely to protect the organization from ill conceived political
agenda. Overall self governance would allow Bangladesh Railway to transform itself into a
sustainable organization, with the sole purpose of the serving the Bangladeshi population.

54 | P a g e
Concluding Remarks
At the very heart of our analysis it is apparent suboptimal performance at Bangladesh Railway
are inherently due to the form of government owned administrative regulation that controls
the company. Self-governance is the key to transforming the company into a high performing
organization. One may find the idea of introducing e ticketing and online carriage tracking as
significant milestone in the company’s inclination towards achieving success, however such
measure is only a one off success factor. In order for rapid improvement, the company needs
to develop the suggested comprehensive high performance framework with clearly identified
vision of transforming to a high performing organization. At the forefront of every measure,
customer orientated behavior should be made a key priory. In addition, introducing corporate
culture of eliminating unnecessary waste, using recourses more efficiently, continuous
knowledge building and a well-established performance reward package should be
incorporated.

Employees are a key steak holder in any organization. Therefore, strict recruiting and
selection procedure needs to be maintained to ensure appropriate workforce is hired.
Currently the company faces a situation where many of the employees does not match the
required job specifications, while at other posts there are abundant number of idle individuals.
The company should also take initiative to boost employee morale in order to successfully
implement the transformation process. The rail sector has immense potential for growth, and
can be a major contributing factor to the country’s transportation and logistical infrastructure.
Fully functional railways system can be a catalyst for economic growth. The report has
identified key areas of concern within the company, and suggested a comprehensive section
of refashioning and designing the entire performance management system at Bangladesh
Railway. In order for the company to derive positive results, it needs to be dedicated to full
implementation of the high performance model suggested in this report.

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Discussion Questions
1. How can Bangladesh Railway hire more competent workforce?
2. What steps the company can take to motivate its existing workers?
3. What measure can be taken to ensure transparency within the company?
4. Would continuous performance appraisal system improve performance?
5. What are the key barriers for Bangladesh Railway into transferring into a high
performing organization?
6. Would self governance be able to reduce corruption within the company?
7. How will reducing organizational complexity help improve performance?
8. Would enabling mid level managers to be more involved in decision improve the
quality of decision making?
9. What measures can be taken to develop a more customer centric approach?
10. Would applying the proposed TQM model help to cut overall cost?
11. Should there be any changes made to the company’s orientation program?
12. What other changes can be made to the company’s waste minimization policy?
13. Will the above HR refashioning be able to build a competent motivated workforce?
14. What are the limitations Bangladesh Railway is likely to face while transforming into
an high performing organization?
15. Do you believe form of “shared leadership” style is appropriate for Bangladesh
Railway?

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References
1. Bangladesh Railway. (2014). Retrieved 3rd March 2016 from
http://www.railway.gov.bd/

2. Rail Master Plan. (2013). Retrieved 3rd March 2016 from

http://mor.portal.gov.bd/sites/default/files/files/mor.portal.gov.bd/page/9a1ba160_209
b_4d94_9077_3befdc9e2ef3/7.%20Strategy%26%20Approaches%20to%20achieve
%20the%20vision.pdf

3. FAQ Bangladesh Railway. (2014). Retrieved 3rd March 2016 from

http://www.railway.gov.bd/

4. Bangladesh upgrade loan. (2007)  Railway Gazette International. Retrieved on 2nd

February 2016 from http://www.railwaygazette.com/news/single-
view/view/bangladesh-upgrade-loan.html

5. S. Hasan (2009), A case study on Bangladesh Railway. Retrieved on 25th February

2016 from http://www.slideshare.net/sohagmal/a-case-study-of-bangladesh-railway-
33311962

6. S.Rahamn (2005). RE-ORIENTATION OF BANGLADESH RAILWAY: A MARKET

INTEGRATION STUDY. Retrieved on 5th March 2015 from http://sr-
milan.tripod.com/MBA-Thesis.pdf

7. Bangladesh Railway Project. 1982. Retrieved on 25th March 2015 from

http://www.adb.org/sites/default/files/project-document/72975/19008-ban-pcr.pdf

8. Railway Reform Progress Report. (n,d), Retrieved on 25th February 2016 from
http://www.adb.org/sites/default/files/linked-documents/46168-001-sd-01.pdf

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