ABSTRACT

This chapter discusses human resource management (HRM) in Bangladesh and Sri Lanka. It outlines the HRM practices in state sector. The chapter presents HRM practices in the private sector, including multinational companies (MNCs), and small-and medium-sized enterprises (SMEs). The main economic development in the South Asia was initiated in 1980s, when the markets of Sri Lanka and later India, Pakistan, and Bangladesh were opened to foreign direct investment (FDI). Bangladesh has initiated economic reforms since 1980s to attract FDI by promoting private sector involvement and global economic integration through trade liberalization. In business management, Sri Lankans depict a mixture of Asian values and Western philosophies and practices. This is mainly a result of it having been a colony of Portuguese, Dutch, and British until 1948. Reward systems are based on individual performance, reflecting individualistic cultural values. Economic reforms and private sector led industrialization have helped Bangladesh to achieve desired economic growth and reach the status of a lower middle-income country.