Analysis of the Organizational Attitude Towards Human Capital Development: A Study on Commercial Banks in Bangladesh

Abstract

Purpose – The objective of this research report is to depict the attitude of commercial banks in Bangladesh towards its human capital development.

Methodology – This exploratory research is conducted in total of 8 private commercial banks in Bangladesh from which 25 HR managers have been selected as respondents through convenient sampling method. Both the primary and secondary data were used in the study. A structured close ended questionnaire with five point Liker type scale was used for collecting primary data.

Findings –The study found that the commercial Banks in Bangladesh have positive attitude towards the human capital investment. Although some organizations are found to consider such investment as risky, yet they are investment oriented to its people because they believe that investment in people is the main source of having sustainable competitive advantage. The findings also suggest that the banks can reduce the risk of investment in people by developing strong employee retention policies as creating long term contracts, offering financial incentives and additional professional opportunities. The study suggests the banks that are more investment oriented on human capital development; they should conduct proper cost-benefit analysis.

Implications – The findings of this study will help the banks of Bangladesh to be aware about the importance of investment on human capital development and also see the picture to outcome from the investment on human capital development.

Keywords: Commercial banks, Human capital development, Organizational attitude, Investment.

DOI: 10.7176/JESD/10-2-02