OB Practice in linde.pdf

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LETTER OF TRANSMITTAL

Date: March 20, 2013Professor Dr.Md.Ataur RahmanProfessorDepartment of Management StudiesUniversity of DhakaSubject: Submission of OB Practice in Linde Bangladesh LtdDear Sir,I am hereby submitting my report,which is a part of the EMBA Program curriculum. It isgreat achievement to work under your active supervision.This report is based on, OB Practice in Linde Bangladesh Limited. I have got theopportunity to work in Linde Bangladesh Limited in Operations Department under

Technology Division for three years supervision of Mr. Khalilur Rahman, Area Manager, Operations.This project gave me both academic and practical exposures. First of all I learned aboutthe organizational culture of a prominent organization of the country. Secondly, theproject gave me the opportunity to develop a network with the corporate environment.I shall be highly obliged if you are kind enough to receive this report and provide yourvaluable judgment. It would be my immense pleasure if you find this report useful andinformative to have an apparent perspective on the issue.Sincerely Yours-------------------------------Kafi Mahmood NahinDepartment of Management StudiesID:18-03-20132University of Dhaka


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EXECUTIVE SUMMARY

This report is prepared on the basis of my three years practical experience at Linde

Bangladesh Limited. This program helped me to learn about the practical scenario of aMultinational oil & Gas Company. Linde Bangladesh Limited is a dynamic and leadingcountrywide Medical and Industrial Gas solution provider., formerly known as LindeBangladesh Ltd(Bangladesh), commenced its operation in 1997 under the brand nameLINDE BANGLADESH among the pioneer Gases service providers in Bangladesh.Later, on 20th November 2011 the company started its new journey with the brand nameLinde. This report has been presented based on my observation and experience gatheredfrom the company. The organization has many divisions and departments but the focus isgiven more on the level of OB practice in Linde Bangladesh Ltd as I got the opportunityto work in this organization.The report mentions about the facilities and benefits Linde Bangladesh Limited provides

to their employees. A research is conducted to draw a conclusion on the effects of thesefacilities and benefits. The result that is found is quite considerable. However LindeBangladesh Limited should work a lot to convince and sustain their existing employees.The result of the research is described in details in this report in the later chapters.After knowing the scenario of Linde Bangladesh Limited in terms of their employeesatisfaction a lot of recommendation came up. The report also consist recommendationsand conclusion according to my point of view, which I think would improve theenvironment of the organization if implemented


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TABLE OF CONTENT

Chapter4 Finding & Analysis 23

4.1 Nature of OB ofExecutives

23

4.2 Nature of OB of Employee 23

4.3 OB culture 24

4.4 Motivation 25

4.5 Leadership 26

4.6 Empowerment 274.7 Decision

Making/Participation27

4.8 Teamwork 27

4.9 Moodiness 28

4.10 Organizational Councelling 28

4.11 OrganizationalCommitment

28

Chapters Topics Page Number

Chapter 1 Introduction 6

1.1 Origin of the Report/Background of the Study

6

1.2 Rational of the Study 6

1.3 Objective of the study 6

1.4 Limitation 6

Chapter2 Research Methodology 7

2.1 Data Collection 7

2.1.1 Primary Data Collection 7

2.1.2 Secondary data Collection 7

2.2 Population Parameter 7

2.6 Computer Software Used 7

Chapter3 Organizational Profile 8

3.1 Organizational Profile 11

3.2 Organizational Chart 11

3.3 Existing Program 11

3.4 Future Program 183.5 SWOT Analysis 21


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4.12 Organizational Justice 31

4.13 OrganizationalResponsibility

31

4.14 Organizational Loyality 31

Chapter5 Recommendations and

Conclusion

32

5.1 Recommendations 32

5.2 Conclusion 32

Reference Conclusion 34


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CHAPTER ONE-INTRODUCTION

1.1 Origin of the ReportThis report is prepared to fulfill the partial requirement of EM513 of EMBA Program

University of Dhaka on the Organizational Behavior Practice of a company, businessorganization Linde Bangladesh Ltd. So we are discussing on different aspects of thiscompany and also of this industry over three years from 2010 to 2013. We did this reporton Organizational performance requirement of Management course I have tried to reflectmy experience on this report in terms of OB practice in Linde Bangladesh Ltd.

1.2 Scope of the study

In the following pages we sorted the parts in according with the text. At first we gave anIntroductory part of Linde Bangladesh Ltd. Then we presented the planning partwhich includes OB technique & mechanisms, organizations behavior andstrategically planning and the SWOT analysis of the organization. The next part includesthe organizing procedures of Linde he next part we discussed about the motivational toolsand leadership practices in the Linde. At the last section we discussed about thecontrolling procedure of the company, and then we terminated our report with a summaryand conclusion.1.3 Objective of the study

The specific objectives aimed for this report is:1. To fulfill the partial requirement of the course under the guidance of course

coordinator.2. To gain experience and knowledge of analyzing the OB practice from the real life, thiswill help us in the practical working environment.3. To find out the Organizational Behavior practiceof Linde Bangladesh Limited4. Identify Organizational Behavior environment.5. Forecast the value of the OB Practice in Linde Bangladesh Limited.

1.4 Limitations of the Study

Lack of availability of information and data, some time there are some back datedinformation they provide.The record system of the annual report is not efficient

Lack of access in many section of the organization. Time is not sufficient to complete thestudy perfectly.


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CHAPTER TWO- RESEARCH METHODOLOGY

2.1 Data Collection

The information of this report has been collected from the following sourcesPrimarySecondary2.1.1 Primary Data Collection

To get primary information the following sources had been contactedPersonal interview with experts(Management and Non Management staff)Questionnaire2.1.2 Secondary Data Collection

To get secondary information we went to the Head office of Linde. We also discussed thepolicies and methods, which are implemented by Linde with the employees andsubordinates of that organization. Collect the Details data from Linde portal and theofficial wev site of Linde Bangladesh Limited.

2.2 Population ParameterLinde is a truly Medical and Industrials Gas-oriented brand in Bangladesh. We stand asthe people's champion and are there for the people of Bangladesh where they want andhow they want. With local tradition at its core, Linde marches ahead with innovation andcreativity. More than 240 employee working with Linde Bangladesh Limited.The management profile of Robi Axiata Limited.Erphan S Matin Managing directorIftekhar Karim- Head of supplyNazmul Hossin- Finance DirectorSaiqua Mazed-GM,human Resource DepartmentSayed Asgar Ali-Head of Supply ChainMd.Abdul Matin- Country SHEQ Head.

2.3 Computer software used:

IS department of Linde Bangladesh Ltd has developed software for in house use. HRdepartment is using this software for preserving data. To prepare the report, author usedthe MS Office.


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CHAPTER THREE - ORGANIZATIONAL PROFILE

3.1Organizational Profile

Company ProfileThe Linde Group is a world-leading gases and engineering company with approximately62,000 employees working in more than 100 countries worldwide. In the 2012 financialyear, it generated revenue of EUR 15.280 bn.

The Linde Spirit

Our values

Passion to excel We have the commitment and drive to pursue ever higherstandards of excellence and we celebrate success.

Innovating forcustomers

We relentlessly pursue new ways to add value to externalcustomers.

Empowering people People are given the space to contribute and grow.

Thriving throughdiversity

Diversity results in enriched collaboration and enhanced solutions.

Our foundational principles

Safety We dont want to harm people.

Integrity Our actions are honest, fair and ethical.

SustainabilityWe are preoccupied with todays success, but accept our responsibility forfuture generations.

Respect Every human being deserves to be treated with respect.

Our strategy is geared towards sustainable earnings-based growth, and it focuses on theexpansion of its international business with forward-looking products and services.GuidelinesOur internal guidelines and standards define how we implement values and principlesthroughout the company. The Code of Ethics describes rules for a conduct that alignswith legal and internal corporate regulations. It defines clear standards that govern ourrelationships with our customers and suppliers, with authorities and other businesspartners, and with each other. The Code of Ethics is binding for all employees of LindeAG and its affiliates worldwide. Linde also encourages business partners to apply the


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standards defined in the Code of Ethics. We have developed additional, internalguidelines and standards that further outline our commitment in core areas.Our corporate responsibility policy defines the key areas and fundamental principles thatshape responsible business at Linde.In our global Group policy on safety, health, environment and quality, we set out our

commitment to mitigating harm to people and the environment to the best of our ability.Our procurement principles provide a framework for our dealings with business partnersand outline how we expect them to behave.Compliance guidelines help ensure compliance with laws.International standardsWe also recognise and promote international standards and guidelines, and align ourcorporate responsibility activities with these benchmarks. They include:The United Nations Universal Declaration of Human RightsOECD guidelines for multinational enterprisesThe principles set down in the conventions of International Labour Organisation (ILO)The United Nations Guiding Principles on Business and Human Rights

ResponsibilityLinde acts responsibly towards its shareholders, business partners and employees and iscommitted to society and the environment in every one of its business areas, regionsand locations across the globe. We are committed to technologies and products that unitecustomer value and sustainable development.Corporate History

Linde stands for over 130 years oftechnological progress. Technology,innovation and an inventive spirit havecharacterised our company from the verybeginning.

Carl von Lindes curiosity as an inventor, his persistence in the implementation of hisideas and theoretical concepts, as well as his ability to recognise the requirements of hiscustomers and fulfil their desire for reliability and quality are all timeless factors forsuccess.

A Journey Through Time

The Linde Group can look back at special milestones in its history since the 1880s. Takea trip through time and learn about Linde from its first beginnings to the present day.Linde Bangladesh LtdLINDE Bangladesh Limited is both an old and a relatively new company. Old because ithas been present in what is now Bangladesh, in one form or the other, since the days ofBritish India. New because it was registered under it's own identity only in 1973. TheCompany began, after the independence of Bangladesh, with a modest turnover of a littleover Tk.6 million. The turnover in 1999 exceeded Taka 1 billion.


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LINDE BANGLADESH Bangladesh Limited started out as Bangladesh Oxygen Limitedwith 3 small Oxygen plants and Dissolved Acetylene plants, one of each in Dhaka,Chittagong and Khulna. In addition, it had an operating contract to run the Oxygen plantsof Chittagong Steel Mills (CSM), which is still there today. For the manufacture ofWelding Electrodes

the Company had only one very small extruder. From inception, the Company hadremained the sole supplier of Medical Oxygen in the Country. In the mid 70's a NitrousOxide plant still the only one in Bangladesh, was imported and installed in Dhaka toprovide the nation with this vital anesthetic gas. Later in the decade a Carbon Dioxideplant was bought and installed in Dhaka and this was the first in the Country to producedry ice. In the early 80's the first liquid gas plant was imported from New Zealand andagain installed in Dhaka, where the demand for Oxygen was concentrated.Shortly after that came the first boom in ship cutting and demand for Oxygen "wentthrough the roof". The Company invested immediately in additional compressingcapacity for the surplus Oxygen at CSM while simultaneously pursuing the Governmentto permit it to invest in new production capacity. Eventually the Company was permitted

to import 400 cubic metres per hour air separation plant from Australia, capable ofproducing Liquid Oxygen, Nitrogen and, for the first time in Bangladesh, Agron. Thiswas installed in Chittagong, essentially to feed the ship cutting market on the beach. Inthe early 90's booster was added to this to increase output, pending investment in furthercapacity.Meanwhile, the welding business of the Company was also growing fast and in the early80's a state of the art RAM extruder was added to the production line, dramaticallyimproving output and quality of electrodes. The Company, in another innovative move,invested in a wire drawing machine for the electrode factory. A second RAM was addedin the late 80's to keep up with demand.The Company went "public" in 1985 when the Government renounced its right shares infavor of the public. Today, LINDE BANGLADESH Bangladesh is one of the premiercompanies in theCountry. Bangladesh Oxygen Limited changed its name to LINDE Bangladesh Limitedin March 1995 in line with a world wide program of the LINDE Group.The 90's witnessed another change in the fortunes of the Company with deregulation andliberalisation of the economy. A site was specially purchased at Rupganj, near Dhaka,where the Company installed a 30 tonnes per day air separation plant, the largest in thecountry. The US made plant produces Oxygen, Nitrogen and Argon and istechnologically, as advanced as any in the world. It came on stream in 1995.At the same time, the Company also invested in a modern integrated welding electrodeplant, made by the largest welding electrode manufacturers in the world, which wasimported and installed at the new site in Rupganj. A technical collaboration arrangementwas also made with the suppliers ESAB AB of Sweden and the plant went intoproduction in 1995. Welding business received ISO 9002 certification in the followingyear. A distribution agreement has been signed with world class Welding Company, TheLincoln Company of USA. In March 1998 a second line of production was added to theintegrated WeldingElectrode Factory at Rupganj, doubling the capacity. Same year, in November 1998 anew site with a 20 TPD liquid plant was acquired in Shitalpur, Chittagong.


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The LINDE BANGLADESH Group, of which LINDE BANGLADESH BangladeshLimited is a member, has its headquarters at Windlesham in the UK. It employs in excessof 40,000 people and contributes to the economies of nearly 60 countries world wide,with an annual turnover of E3.3 billion

3.2Organizational ChartLindes Organizational Hierarchy

3.3Existing ProgramOperator Training

Working with Experts - Learning from Experts. Benefit from the exchange ofinformation.To ensure that you take advantage of all the opportunities our products offer our mostexperienced specialists can help you to train your staff in the usage of our equipment. Ourservice-experts provide worldwide operator training to improve productivity, reduceequipment and maintenance cost and to increase operator safety.


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We offer various customized courses which can be tailored to meet your individualrequirements and your standards. Our aim is to create a profound understanding ofprocess operations and process facilities in order to avoid problems and to operate yourplant safely and efficiently for a long period of time.

Our Linde Engineering training centre offers courses covering the followingtopics:Safety Rules, regulations, standards and normsGeneral mechanics and mechanical maintenance of equipmentElectric equipment and control systemsHeat exchanger maintenance and processingUnderstanding of process operations and maintenance of process facilitiesGeneral maintenance and troubleshootingStart up, shutdown, restartPlant optimisation, update, revamp

Plant lifecycle managementSpare Part ManagementPlease contact our training centre to get more information and design your individualtraining programme.Fair remuneration

Our different remuneration components encourage our employees to identify with thecompanys long-term, strategic objectives. This mix includes target- and performance-related remuneration for managers as well as a global performance management systemthat ensures regular feedback between employees and line managers.Our employees are paid on the basis of their role, qualifications and performance. We donot differentiate payment based on gender. Our global performance management system

includes assessments of all management positions. These evaluations focus ontransparency, equality and fair-market-value remuneration. We benchmark remunerationlevels internally and externally to ensure payments are appropriate and in keeping withestablished market practice.

Social benefitsWe offer our employees various benefit plans beyond their salaries. These are organisedat local level and vary from location to location. Occupational pension plans are just oneexample of the types of schemes we provide. We offer around 39,200 employees in over


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50 countries company and employee-financed pension schemes and healthcare benefits.Almost 78 percent of the Group-wide workforce is thus covered by company benefitschemes.

Work-life balance

Our employees should be given the opportunity to balance personal and professionalgoals. We help them do this by offering flexible work schemes, childcare support andassistance for employees with family members who are ill or require special care. Inaddition to flexitime and teleworking options, we offer part-time work models. In 2011, 2percent of The Linde Group workforce were part-time employees. Also in 2011, weapproved a new works agreement on teleworking options for employees in theEngineering Division. In the same year, a total of 714 employees worldwide tookparental leave. 129 of these were men.Our employees work in countries with varying requirements governing hours of work perweek. These standards are based on national regulations and collective wage agreements.As a rule, contracts for full-time employees stipulate a maximum working week of 48

hours worldwide.Co-determinationWe maintain good working relationships with employee representatives and unions..Employee representation at Linde is two-tiered, consisting of decentralized workscouncils in the individual units and a central works council for the Group as a whole. InGermany, one of the main outcomes of talks between employee representatives and thecompany was a works agreement regarding variable remuneration, which was agreedduring the period under review.

Winning talent

Recruiting and training qualified young talent is a central aspect of our HR strategy. For atechnical company such as Linde, our ability to recruit highly qualified engineers isparticularly important. We are actively involved in partnerships with universities and theresearch community beyond national boarders. Our aim here is to win students as soon asthey graduate. We have numerous programmes of this kind in place in different regions,including our graduate programme for talented engineering students in Africa and ourcollaboration with six target universities in the South Pacific region.We also offer work placements to give school children and university students theopportunity to get to know our company or to complete dissertations under the guidanceof our specialists. In Germany, we maintain contact with past interns and trainees atLinde Engineering via our loyalty programme Continue and regularly organise talks,business exercises, workshops and other activities as part of this programme.Entry programmes for graduatesOur in-house trainee and graduate programmes equip college and university graduates fora successful career at Linde. We offer business and technical development schemeswithin the different divisions and lines of business. These usually last between 16 and 24months and include at least one stay abroad. The programmes provide an ideal,international platform for graduates to gain early professional experience in a range ofareas and quickly build networks. We also offer regional opportunities for talented


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university graduates. At the start of 2012, for example, we launched a new graduatetraining programme in China.

TrainingWe offer industrial/technical and commercial training opportunities worldwide. InGermany, for example, we offer apprenticeships in twelve professions. Depending on the

division, either 94.9 or 95.5 percent of young people who completed their training wereoffered at least temporary contracts in 2011. In Germany, we partner with universitiesand third-level institutes that offer dual study programmes to train up-and-comingengineers in process technology, industrial engineering, construction and electricalengineering. In 2011, apprentices continued to account for 1.3 percent of the entireworkforce. Over 60 percent of these were based in companies outside of Germany.Talent development activitiesOur talent development programmes are designed to meet the audience-specific andregional needs of various professional profiles across the company. Training initiativesprimarily focus on practical learning and skill-building. Every employee spent an averageof 2.3 days in training in 2011 (2011: 2.0).

Employees who have taken up training opportunities(in percent)The Linde Group

The number of employees who took up training opportunities rose by 5 percent in 2011.A total of 64.4 percent of employees took part in training measures in 2011 (2010:59.1 percent). The company spent EUR 267 on training per employee (2010: EUR 241).We provide an online training platform for employees and also hold regular employeereview meetings to help steer professional development. In this context, we continued toexpand our Group-wide performance management system in 2011 and assessed thecurrent system worldwide. The results of this process form the basis of a new, uniform,Group-wide performance management module, which we aim to launch in 2012.Responsible leadership

Our managers have an important role to fulfill. They have to support and inspire their

teams, also identifying and embracing the opportunities inherent in the cultural diversityand experience of each member. And they must also lead by example. Our advancedtraining program help managers rise to these challenges. We have bundled internationaltraining and development program in leadership and business management under theumbrella of the Linde University. Our offering here includes:Junior and Regional Talent Circles for gifted young employees. These program enable usto identify potential leaders, strengthen their interpersonal, leadership and managementskills, and build long-term loyalty to the company.


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Diversity and equal opportunitiesDiversity is one of our key values and a crucial factor for our future success. Our aim isto build the best teams worldwide that understand customer needs on the ground, knowthe local markets and understand and respect cultural differences. Our diversitymanagement programme gives us a framework to capitalise on the opportunities

presented by a varied workforce.70%International managers

A German company with an international team: In 2011, over 70 percent of seniormanagers at Linde were from countries other than Germany, representing over 40different nations in total.At the end of 2011, The Linde Group employed over 50,000 people from more than 90countries. Each member of our workforce brings unique perspectives, experiences andskills to the table. In our German companies alone, our workforce comprises people fromover 60 different countries. In 2011, over 70 percent of senior managers at Linde camefrom countries other than Germany representing over 40 different nations in total. At

our sites in the emerging economies of China, India and South-East Asia, around70 percent of managers come from the regions in question. More than 200 of ouremployees were seconded to affiliates abroad in 2011.We further underscored our commitment to diversity in 2011 by signing the diversitycharter, a corporate initiative in Germany that supports diversity in companies.Equal opportunities.Gender equality

We identified a number of HR management priorities for 2011 and 2012, including thetargeted development of female talent at management level. Although the percentage ofwomen in The Linde Group has risen slightly over the past years, it has remainedrelatively constant at almost 20 percent. 23 percent of new hires in 2011 were women. Inthe same year, 11 percent of senior managers were women. The percentage of women inmanagement positions has thus also increased slightly compared with previous years.Proportion of women

The Linde Group

in percent 2011 2010 2009 2008

Total staff 19.5 19.3 19.9 20.2

Senior management positions 11.0 10.3 9.3 9.1

Executive Board 0 0 0 0

Supervisory Board 8.3 0 0 0

Our objective is to increase the proportion of women in management positions tobetween 13 and 15 percent by 2018. The number of women in our most importantdevelopment programmes rose during the period under review: The proportion of femaleemployees in the Global Leadership Development Circle rose from 6.5 percent in 2010 to15.2 percent in 2011. In our Global Talent Circle programme, female participation rose to26.8 percent (2010: 16.9 percent).Supporting older employees


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The proportion of Linde employees aged 50-plus has increased steadily in recent yearsand now accounts for a quarter of the entire workforce. As a result, we are developingmeasures aimed at maintaining the physical and mental performance of our employees.Age structure of employees 2011The Linde Group

In 2008, we created the work/life balance taskforce. It brings together employer andemployee representatives to address issues such as the effects of demographic change.Recently, we also carried out a demographics analysis in Germany, the US, GB andChina. Our Engineering Division introduced the ROCK (Retention of CriticalKnowledge) programme to hold on to valuable knowledge that we might otherwise runthe risk of losing when employees leave the company to retire for instance.

Integrating severely disabled employeesOur commitment to equal opportunities includes supporting employees with severedisabilities or health issues. A Group works agreement governing the reintegration of

employees who were not able to work for extended periods back into working life hasbeen in place since 1995. A new Group works agreement on occupational reintegrationmanagement is currently under discussion. The aim is to find tailored solutions thatenable individuals to return to work.In our German companies, the percentage of employees with disabilities has remainedconstant over the years: In 2011, 266 people with severe disabilities were employed atLinde Germany. This corresponds to a ratio of 3.6 percent (2010: 3.5 percent). At aroundEUR 80,000, the value of orders that we placed with German workshops for people withdisabilities remained at the previous years level. We also offer people with disabilitiesappropriate work opportunities at sites beyond Germany where there are no comparablelegal regulations.

Labour and social standardsWe are committed to protecting and promoting human rights. Our Code of Ethicsadvocates the core principles of the United Nations Declaration of Human Rights and theprinciples anchored in the conventions of the International Labour Organisation (ILO).Our endorsement of the UN Global Compact means that we also commit to upholdingGlobal Compact principles governing human rights and labour standards. Labour andsocial standards are also covered by our procurement principles and supplier guidelines.


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We hold training courses to familiarise our employees with the Code of Ethics. Suspectedinstances of non-compliance with our Code of Ethics or our Ethical-legal PrinciplesProcurement perpetrated by Linde employees or suppliers can be reported at any time toour Linde Integrity Line reporting system.For the first time in 2011, we conducted an assessment on labour and social standards as

well as human rights on a globally uniform basis. Our aim here is to determine the extentto which systems ensuring compliance with global standards have been implemented.This global survey contained questions on central labour standards such as those definedby the International Labour Organisation (ILO). The survey covered all countries inwhich we do business and it revealed that our companies have put processes in place toensure that social standards are upheld. These include the avoidance of child and forcedlabour, anti-discrimination and the right to exercise freedom of association and negot iatecollective bargaining agreements. A very small percentage of Group employees work incountries where the right to exercise freedom of association and negotiate collectivebargaining agreements is limited by national legislation.Occupational health and safety

We protect our employees and contractors against any safety risks that might arise inconnection with the work they do for Linde and help them to stay healthy through variouspreventative healthcare programmes. Our management systems enable us to identifyworkplace risks worldwide and define measures to mitigate these. We evaluate ourprogress here using key performance indicators (KPIs) and dedicated processes,including, for example, analyses of workplace incidents and audits. In addition, we tailorour occupational health and safety activities to the varying needs of our business unitsand regions.To raise awareness of health and safety issues among employees and contractors, weprovide targeted training opportunities, regularly assess the need for training at ourlocations and develop training programmes accordingly. In parallel, we also runcampaigns and initiatives focused on health and safety.Occupational safety measuresOur aim is to further reduce the number of work-related accidents. To achieve this, wecontinually evolve our safety management programme and implement a wide range ofmeasures to strengthen our safety culture and reduce risks.Workplace accidents per million hours worked(lost time injury rate; LTIR)

The Linde Group


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In 2011, the number of workplace accidents among employees dropped further to 1.4 permillion hours worked. During the same period, the number of workplace accidents amongour contractors also fell, and is now at 1.6 per million hours worked.It is with the greatest of sadness that we report five work-related fatalities involvingLinde employees and three fatalities involving contractor employees working for TheLinde Group in 2011. Two employees lost their lives following an accident at one of ourplants. Six of the fatalities resulted from traffic accidents involving our employees andcontractors. We stepped up our plant and transport safety activities in 2011.Occupational health measuresEnvironment and safety100% of sites covered by management systems for safety and environmental protectionDrop in number of workplace accidents and serious transport incidentsNew goal for sustainable use of water

Safety and environmental protection are top priorities at Linde. Our activities here focus

not only on our internal business processes, but also on how our products are used. Wehave defined global guidelines and standards for occupational health, safety andenvironmental protection. We anchor these principles into our day-to-day businessactivities through our SHEQ management systems which cover all of our sites. Oursafety and environmental management systems also extend to contractors and otherbusiness partners. We deploy a wide range of tools and measures to check compliancewith our standards, including regular audits carried out by Linde and independent thirdparties.


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3.4 Future Program

EmployeesStrategic goal Planned measures Timeline Progress St

Employees

Analysis of results fromthe first globalemployee survey

First globalemployee surveycarried out (2010target achieved)

Evaluation of currentstatus and definition ofimprovement action

plans

Following evaluationof the survey results,team meetings in all

lines of business Over 70% of teams

implemented theagreed measures

Review ofemployeesatisfaction

Follow-up survey toassess the impact ofnew measures

2012

Follow-up surveyplanned for 2012

> More

Percentage ofwomen in seniormanagement

positions increased

Increase inthe proportionof women in

managementpositions tobetween 13and 15% by2018

Development ofmeasures aimed atpromoting talented

female employees

2018

Percentage ofwomen in our mostimportantdevelopmentprogrammesincreased

> More

Assessment of supportneeds

Expansion ofchildcare

support Increase in the numberof daycare places tomatch rise in demand

Long-term goal

Number of daycareplaces at our

headquarters inMunich increasedfrom 20 to 37 in2011

> More

Evaluation ofcompliance

Evaluation ofmonitoring systems to

2015 Global survey ofprocesses to ensure


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Employees

Strategic goal Planned measures Timeline Progress St

ensure compliance withlabour and human rights

standards

compliance withsocial standards and

respect forhuman rights

Global survey ofprocesses that protectsocial standards

New indicator onmaximum workinghours included in CRreport

with labourand social

standards

Definition of keyperformance indicatorsfor this area

> More

Harmonisation ofoccupational healthcare

guidelines

Expansionand

harmonisationof healthcaremanagementprogrammes

Expert training onoccupational healthcaremanagement

Ongoing Seven globalhealthcare guidelines

approved between2010 and 2012;during the sameperiod, over 100employeescompletedoccupationalhealthcare training

> MoreOccupational

health Occupational health

and safety auditscarried out at 54.2%of our sites

Researchcollaboration on safehandling of smallgas cylinders

Number of work-related accidents

among employeesfell to 1.4 per millionhours worked

Reduction ofhealth risksassociatedwith manualtasks

Ongoing

Number of work-related accidentsamong contractorsfell to 1.9 per millionhours worked


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Employees


> More

Development ofpreventative measuresfor dealing withpsychological strainsuch as stress

Subject of workloadcovered in globalemployee survey

Harmonisation ofexisting local guidelineson psychological health

Reduction ofpotential risksfrompsychologicalstress to aminimum

Approval of a globalguideline

Long-term goal

Stress managementtraining for 60managers in theEngineering Division

> More

Social engagement

Strategic goalPlannedmeasures Timeline Progress St

More on financial targets and goals within the framework of our high performance organisation (HPefficiency programme

Social engagement

Assessment ofall corporatecitizenship

projects

Global survey ofsocial engagementprojects

Development ofa globalstrategy forcorporatecitizenship

Evaluation ofcorporatecitizenship

strategy

Development ofa globalapproach tocorporatevolunteering

2012

New goal tobenchmark theimpact of socialengagement andcommunityinvolvementprojects

> More

Definition ofcorporatecitizenship keyperformanceindicators(KPIs)

CorporatecitizenshipKPIs defined

Development ofa global strategyfor measuringthe impact ofprojects

Collection and

2013

Global pilot survey


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Employees


reporting ofcorporate

citizenshipKPIs worldwide

on corporatecitizenship KPIs

Development ofefficiencychecks fordonation andsponsoringprojects

Identification offlagshipprojects

New indicators oncorporatecitizenshipincluded in CRreport

> More

3.5 SWOT Analysis

Strength :

The Management Employee relationshipJob SatisfactionJob securityProfessional, devoted and motivated technical work forceSystem, policies and procedures are transparent and well established

Weakness :lack of Team Spirit.Resist on change.Failure to recognize opportunity.Negative Competition

Opportunity:Employment opportunity.`In future there is a scope of introducing pension system in Linde Bangladesh Ltd..Change of management style will be introducedI + 10 Programmed will be launched within a few days.

Threat:

Political EnvironmentResignation of skilled manpowerDelay in decision makingCBA and Trade UnionInflationary Trend


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CHAPTER FOUR - FINDING & ANALYSIS

4.1Nature of OB of Executives

By studying the HR report and interview in different times the following findings arefound in case of executives-1. Democratic attitude2. More dynamic3. Innovative Mentality4. More or less good relations of junior level managers and employees

5. Strictness to non-union attitudes6. Less bureaucracy7. Conservative financial behavior8. Liberal attitude toward Publicity9. More or less benevolent leadership style followed10. Close relationship with high officials elite people11. Discriminatory/heterogeneous/irrational behavior12. Corporate social responsibility

4.2Nature of OB of Employee

1.Enthusiastic Participation2. Visible Leader ship3. Unite about their Labor right and policy

4.3 OB Culture

The Linde Bangladesh combines anenduring heritage with the drive forcontinuous improvement, innovation andhigh performance. Our vision is to becomethe leading global gases and engineeringcompany, admired for its people who make

a difference to the world.

Accompanied by our values and principles, a performance mindset and an emphasis onpersonal development are deeply anchored in our company culture. Here at Linde, everyone of us is committed to achieving our joint vision and to living up to the values andprinciples we have set for ourselves, day by day.


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Adhering to our Code of Ethics and Compliance at all times is another important part ofour company culture. We treat each other and the environment with integrity and respect.Safety and sustainability are therefore key priorities to us as we live up to our corporateresponsibility.

4.4 Motivation

Rewards & Appreciations.Awarding employee of the Month.Employee of the year.No Monitory Rewards.Double Increment of SalaryUpgradationOther Motivational Factors.Bonuses.Medical Allowances.The process that accounts for an individual, intensity, direction and persistent effortstowards attaining a goal.

Reward systems:The only way employees will fulfill your dream is to share in the dream. Reward systemsare the mechanisms that make this happen. "However, reward systems are much morethan just bonus plans and stock options. While they often include both of theseincentives, they can also include awards and other recognition, promotions,reassignment, non-monetary bonuses (e.g., vacations), or a simple thank-you.

ANALYSIS:

We asked the question related to rewards that how rewards motivate employees in LindeBangladesh Ltd.Linde and we found that there are different kinds of rewards Linde Bangladesh gives totheiremployees which are as follows:

Cash Bonuses Promotions Spot Recognition GPB(Good Performance Bonus) Make team leader ESOP Increment in salaries Allowances like (Travel allowance, mobile allowance)

We found one very different kind of reward in Linde Bangladesh that they motivate theiremployees whose performance is not up to the mark by giving them the salariesequivalent to the market value of the any other employee of same rank so as tomotivate their employee.We asked the question from the employees related to reward system that to what extentthey are being recognized and rewarded on their good performance and how theserewards motivate them to work. We ascertained that most of the employees in LindeBangladesh are satisfied but very few of employees showed that there are not rewardedfor their performance but the overall result is positive and this shows the level of


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motivation employees get from rewards. Many of the employees told us they are beingrewardedafter accomplishment of their sales target in such a way that their management takethem to the picnic or invite them for dinner and the rewards like picnic and dinner fromLinde Bangladesh Ltds management is being rewarded most frequently.

And other very interesting thing which we found in Linde Bangladesh is that theirmanagement doesnt fire their employees even their performance level is not up to thestandard of the company. For example if an Linde Bangladesh Ltds employeecontinuously does not achieve its target for the period of three months the managementdoes not fire that employee and we can say that this is kind of surety from LindeBangladesh Ltds management to its employees and this kind of relaxation motivateemployees a lot and employees secure and they are not always threaten from theirmanagement to achieve sales target.

4.5 LeadershipLeadership Styles In Linde Bangladesh Ltd

Democratic Leadership StyleAutocratic Leadership StyleLaissez-Fair Leadership Style

Leadership Behavioral Theories In Linde BangladeshPeople oriented leadersTask oriented leadersFrom Mahatma Gandhi to Jack Welch and Martin Luther King to Rudolph Giuliani, thereare as many leadership styles as there are leaders. Fortunately, business people andpsychologists have developed useful, shorthand ways of describing the main leadershipstyles that can help aspiring leaders to understand and adapt their own styles andleadership impact.

We asked different questions relating to the leadership style from Linde Bangladeshemployeesto know which leadership style their leader uses and we found that two of theleadership styles that are task oriented and people oriented or relations-Oriented. The


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results we got from employees of Linde Bangladesh that 53% of the employees feel thattheir managers are relationship oriented leaders and remaining 47% feels that theirmanagers are task oriented leaders so this shows that the Linde Bangladesh has got thecombination of leaders that are task oriented and relationship oriented. This shows thatLinde Bangladesh have the leaders that perform better in all situations and can manage

their teams more effective in favorable conditions and also in very unfavorableconditions.

4.6 EmpowermentEmpowerment is the process of enhancing the capacity of individuals or groups to makechoices and to transform those choices into desired actions and outcomes. Central to thisprocess are actions which both build individual and collective assets, and improve theefficiency and fairness of the organizational and institutional context which govern theuse of these assetsLinde Bangladesh Limited believes that people are the driving forces of the organization

and it is the people who make the real difference. The Company is committed to create anenvironment where people will have the opportunity to learn and grow with theorganization and deliver to the best of their potential. The company has a dynamiclearning opportunity to develop the individual competencies so that people can utilizetheir potential to the fullest. Development ObjectivesTo align skills training with the existing and future business goals and employees careerpaths.To accustom employees to the Companys ethics, values and a unified work culture.To continually foster and enhance team-spirit and teamwork.To continually develop the Companys potential, existing and future leaders.To ensure training is fully integrated with Talent & Leadership Management, Career &Succession Planning, Reward & Recognition and Performance Management.

Talent ManagementBased on Linde Groups vision of having a steady supply of business leaders by 2020, atalent management strategy has been put in place that lays down the framework ofidentifying talents through rigorous assessment and grooming them through focuseddevelopment initiatives for deployment in future roles either at home or across OpCo.

The objective of introducing a universal talent management framework across theorganization is to create a common platform of defining and evaluating talent to bringabout synergy within the group. In doing so, prepared talents will be exposed todeployment across the group through open resourcing, new business, expertise sharingand so on. By adopting this framework, Linde is in an advantageous position of providingdiversified career opportunities to its high performing talents.Capability AssessmentCompetencies are the skills and knowledge required to perform ones job or role. To do aspecific job and perform the role, the employee will require leadership competencies andfunctional competencies, which encompass technical and generic skills. Competenciesassessed are those of the Linde Leadership competencies namely:


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1. Strategic Thinking2. Business Acumen3. Results Achievement4. Coalition Building5. Customer Orientation

6. People management and Development7. Personal Attribute

Benefits_ Employees participating in the talent program will get to learn and grow at anaccelerated pace._ They will also get to learn with highly talented peers._ They will be considered first for emerging job openings, particularly those that aregood fit to your skills or that will enhance your capabilities._ They will enjoy increased visibility to Top Management of Linde

4.7 Decision Making and ParticipationLinde Employee working in different formal groups which is divided into differentdepartments like finance, sales, HR, etc. These groups working independently andcontrolled by the group leader (Head of the department).Task groupGroup Decision Making

Linde Employee follow the group shift technique for decision making. The leader hasthe final authority either toward conservatism or greater risk. This decision making stylesuite them to compete with others.

4.8 Teamwork

Types of TeamVirtual Team

It may not be practical to travel to meet face-to-faceTeam members may work different shiftsProblem Solving TeamConduct meeting once in a month. Taking response from all team member and solve it.

Cross Functional TeamSame hierarchical level, but from different work areas, who come together toaccomplish a task.

4.9 MoodinessAs per observation on Linde Bangladesh Ltd,we have found that Employee Moodiness isnot constant over all the time .It depends on following factors

Working environment Workload Personality


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Education Motivation Reward and appraisal

4.10 Organizational Counciling

In Linde we generally arrange a counseling session for both individual and group in each

month. In this Technique we want to develop our High skill, Low willemployee/executive. It is actually two way communication or feedback session

4.11 Organizational CommitmentLinde Organizational commitment is the relative strength of an employeesattachment or involvement with the organization where he or she isemployed,. There arethree dimensions of Linde organizational commitment: Affective commitment is a feeling of emotional attachment. Forexample, I work here because the people are great and the workis fun.

Normative commitment is a feeling of obligation. For example,I work here because they hired me when I needed a job so I oweit to them. Continuance commitment is a feeling that the costs of leaving aretoo high or it is too much trouble to go somewhere else. Forexample, Id leave if I knew I could get another job that paid asmuch.Obviously, an employer wants valuable employees to feel affectivecommitment, normative is OK too, but continuance commitment may not be desirable.,Organizational scientists have also developed many nuanced definitions of organizationalcommitment, and numerous scales to measure them. Exemplary of this work is Meyerand Allen's model of commitment, which was developed to integrate numerousdefinitions of commitment that had been proliferated in the literature. Meyer and Allen'smodel has also been critiqued because the model is not consistent with empiricalfindings. There has also been debate surrounding what Meyers and Allen's model wastrying to achieve.

4.12 Organizational Justice

In fact, organizational justice in Linde is a term used to describe the role of fairness as itdirectly relates to the workplace. Specifically, Linde organizational justice is concernedwith the ways in which employees are treated. If they have been treated fairly in theirjobs and the ways in which those determinations influence other work-related variables.Organizational justice can explain why employees retaliate against inequitable outcomesor inappropriate processes and interactions. Employees perceptions relate to threedimensions of organizational justice: distributive justice, procedural justice, andinteractional justice (See figure 1).


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Findings & Analysis

Level of organizational justiceIn order to achieve the first objective of the present study, three tables were arranged,each deals with one dimension of the organizational justice. Distributive Justice: Table 2

gives information on the means and standard deviations of theresponses studied employees' attitudes toward distributive justice exercised by theirmanagers. Employees had negative attitudes toward their workload and level of pay.However, they showed a positive attitude toward work schedule, rewards and jobresponsibilities.


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4.13 Organizational Responsibility

Thus far we have dealt with Linde at their role level, where the task-allocation and the

organizational structure range. Responsibilities concern instead agents and arise inrelation with task-allocation and structure once there are agents enacting the roles of agiven organization.

4.14 Organizational Loyality

The concept of Linde organizational loyaltyIn present modern world, human resource has become a competitive privilege inorganizations. Unsuitable staff can result in failure of business. Normal staff can keep thebusiness and reach the head to head point, while fine staff ever can lead to summit ofeven moderate businesses. In order to become successful in future, the organizations must

thus not only employ the best staff, but also must make them loyalto the organization to keep them .Linde Organizational loyalty is usually determined by three factors:- Identification and belief in goals, values, and mission of the organization;- Tendency to carrying out those activities which are profitable firstly to the organization;- Tendency to stay and continue working in organization.In brief, the staff who is organizationally loyal is the one who:- shares the goals, values, and mission of the organization;- feels necessary to be with the organization;- stays with the organization in good and bad conditions.- pays attention to perform the job accurately in an ordered way.


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CHAPTER FIVE - CONCLUSION & RECOMMENDATIONS

5.1Recommendation1. Linde Bangladesh should offer more training and development sessions for theirexecutives and employee on Changed style of Organizational Behavior;2. Linde Bangladesh should reduce conformity by giving rewards to employees forsuggesting more effective idea in the benefit of the organization this will not onlyprovide wider range of ideas but also act as a motivational tool for theiremployees.3. Linde Bangladesh should arrange extra curricular activities like Sports, culturalactivitiess on inter Linde level to further improve relations between employees as otherorganizations4. LINDE Bangladesh Ltd should introduce Process excellence Peoples Creativity

i.e. employees can show their competencies towards organization so that their value isEvaluated properly.

5.2 ConclusionAfter studying and a analyzing the results of our research on the various issues relatedto the organizational behavior within the organization that are affecting the performanceof its management and particularly its employee, followed by several general andspecific list of questions we asked and the interviews we conducted during our visit tothe Linde Bangladeshwe are able to draw out our conclusions about this report.Linde Bangladesh is a global Linde which is also operating in Bangladesh. Theorganization behavior regarding goal setting for employees we have concluded that themanagement of Linde Bangladesh is effective in setting goals according to thecompetition in the Lindeing sector of Bangladesh. As the requirement of growingLindeing sector it is necessary to set challenging and effective goals so as to becomemarket leaders. Despite of setting challenging goals the employees of Linde Bangladeshare satisfied with these challenging goals and performing well to achieve the goals whichwere provided to them.The management style in Linde Bangladesh is kind of participative management in whichemployees are given chance to share their ideas for decision making so the LindeBangladesh is utilizing its employees by getting different ideas from different employeesthis providesgreater chances for getting better and innovative ideas. Not only this but from thisactivity employees feel motivated because they think they also have the authority indecision making process and they are also a part of an organization. During theinterview of an employee Linde Bangladesh he told us All the employees here are giventitle of relationship officer rather than any other designation and at the beginning of eachmonth the top level management visits every branch and arrange meeting with all theemployees of the branch and discuss the problems faced by every employee andimmediately tries to resolve the problem and this is the major motivating factor for us.For motivating their employees management uses different types of motivating tools the


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innovative ones we found are ESOP (Employees Stock Ownership Plan) and the payplan for less productive workers. By providing ESOP the employees gains theownership of an organization and work hard not only for their benefit but also tomaximize the profit of the organization. The next thing about the pay plan for lessproductive workers the company motivate their employees whose performance is not up

to the mark by giving them the salaries equivalent to the market value of the any otheremployee of same rank.As the motivation and reward systems are up to the expectation of the employees sothe employees are very much satisfied and dont want to leave the organization.The leadership styles in Linde Bangladesh are mixture of both the task oriented andrelationship oriented but it is little lien towards relationship oriented leadership style. Theleaders behavior consisting of all the leaders behavior provided by Houses Path GoalTheory having almost same percentages with very low variation.Overall we concluded Linde Bangladesh inherits strong organizational culture havingvalues for leaders and as well as for employees and the organization behavior is up to themark for any company being in Bangladesh.


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REFERENCES

1.Rahman, Dr. M.Ataur (2012), Organizational Behavior, Neela Publications of Dhaka,

Bangladesh2.Davis,Keith(2012)Organizational Behavior Prentice hall, New Delhi, India3.Linde Group , www.linde.com

4.Web Portal of Linde Bangladesh Limited, www.linde.com.bd

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Documents

OB Practice in linde.pdf