Internship Report on PEL HR Department
MBA INTERNSHIP REPORT PAK ELEKTRON LIMITED (PEL) Specialization: Human Resource Management
Presented to: Chairman Department of Business Administration Submitted by: Name:
Muhammad Fahim Ashraf
Roll #:
T520867
Registration #:
06-PKR-0043
Mailing Address:
S.O. Section, Punjab Assembly, The Mall, Lahore.
Contact #:
0321-6576724, 042-9200322
(Department of Business Administration)
ALLAMA IQBAL OPEN UNIVERSITY- ISLAMABAD
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Internship Report on PEL HR Department
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Internship Report on PEL HR Department
ACKNOWLEDGEMENT All thanks and praises to be Allah, who is the only source of knowledge and wisdom bestowed to mankind. The researchers seek peace from Prophet Muhammad (PBUH), who has always a hope and source of knowledge for humanity. First of all I admit a receipt of all those who inspire and support me in a strengthened and groomed way, what I am today. I wish to place on record my indebtness to my parents for their continuous support and encouragement which I received during my academic career. I would like to express my gratitude to those people who pray for my success and help me throughout in study. I thank to my tutor Muhammad Azeem who always being with me and provide me the academic, Islamic and moral lessons during my MBA study. I am great and much obliged to Mr. Waqar Khadim (Head HR Department) who supported me in a very nice and sophisticated manner.
I must say thanks also to
HR Recruitment and Selection team, Performance Management team, Training & Development team and Industrial Relations team who guided me to share my theoretical concepts with practical training.
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LIST OF CONTENTS
Sr. No.
TOPIC
Page No.
1
Introduction
1
2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17
Overview of the organization Vision Statement / Mission Statement Organizational Structure HR Structure PEL HR vision and mission HR Planning and Forecasting Recruitment Selection Training and development Training need assessment (TNA) Employee Development Performance Management Employee Compensation and Benefits Organizational career Management Labour Management Relations Critical analysis of theoretical concept relating to practical experience Conclusions Recommendations References and Sources Annexure
2 5 6 6 7 11 19 26 34 37 38 43 53 63 68 70
18 19 20 21
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72 74 77 78
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OBJECTIVES OF STUDYING THE ORGANIZATION
•
To analyze my HR concepts practically in a well esteemed organization like PEL and compare it with other organizations
•
To review the functional hierarchy of the PEL and its Human Resource Management Department
•
Analysis of HR Mission / Vision / Strategy/ Objectives and diverse function of HR Department
•
To look into the special assignment carried out by HR team like advancement in Recruitment and Selection process, Performance Management process, Training & Development process and Compensation Benefits of the PEL.
•
To conduct strength, weaknesses, opportunities and Threats (SWOT) analysis of HR Department policies
•
To put the suggestions and recommendations for further improvements of HRM initiatives
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INTRODUCTION SAIGOL GROUP PROFILE In 1948, the Saigols migrated from Calcutta and initiated their business in Lyallpur (later named to as Faisalabad), the textile city of Pakistan, under the banner of Kohinoor Industries Limited. The Saigols set up the first major textile unit - The Kohinoor Textile Mills under the umbrella of Kohinoor Industries Limited. Currently Saigol Group consists on the following companies: •
Kohinoor Textile Mills
•
Pak Elektron Limited (PEL)
•
Saritow Spinning Mills
•
Azam Textile Mills
•
Kohinoor Power Company Limited
•
Kohinoor Energy Limited
PAK ELEKTRON LIMITED (PEL) Pak Elektron Limited (PEL) is the pioneer manufacturer of electrical goods in Pakistan. It was established in 1956 in technical collaboration with M/s AEG of Germany. In October 1978, the Saigol Group of Companies purchased major shares of Pak Elektron Limited. Since its inception, the company has always been contributing towards the advancement and development of the engineering sector in Pakistan by introducing a range of quality electrical equipments and home appliances and by producing hundreds of engineers, skilled workers and technicians through its apprenticeship schemes and training programmes. At that juncture, the company was only manufacturing transformers and
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switchgears. With the Saigols in management, PEL started expanding its product range by entering into Air Conditioner manufacturing.
OVERVIEW OF THE ORGANIZATION PEL has spread its business in all over the Pakistan by its display centers for electric and electronics goods. Basically the company has divided its goods in two following divisions: A. Appliances Division B. Power Division
A. APPLIANCES DIVISION
This Division of PEL consists of appliances manufacturing.
Air Conditioners
Window-type air conditioners were introduced in 1981 in technical collaboration with General Corporation of Japan. Ever since their launch, PEL air conditioners have a leading position in the market. PEL air conditioners cooling performance has been tested and approved by Copeland and ITS USA. With the shift of users preference from window type to split type air conditioners, PEL has started manufacturing split type air conditioners. PEL Refrigerators The manufacturing of refrigerators started in 1986-87 in technical collaboration with M/s IAR-SILTAL of Italy. Like the air conditioner, PEL's refrigerators are also in great
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demand. Today, PEL Crystal has 30% market share. Its cooling performance is tested and approved by Danfoss, Germany and its manufacturing facility is ISO 9002 certified by SGS Switzerland. PEL Deep Freezers PEL deep freezers were introduced in 1987 in technical collaboration with M/s Ariston of Italy. Because of durability and high quality, PEL deep freezers are the preferred choice of companies like Unilever.
B. POWER DIVISION PEL Power Division manufactures energy meters, transformers, switchgears, Kiosks, compact stations, shunt capacitor banks etc. All these electrical goods are manufactured under strict quality control and in accordance with international standards. PEL is one of the major electrical equipment suppliers to Water and Power Development Authority (WAPDA) and Karachi Electrical Supply Corporation (KESC), which are the largest power utilities in Pakistan. Over the years, PEL electrical equipment has been used in numerous power projects of national importance within Pakistan. PEL has the privilege of getting its equipment approved and certified by well-reputed international consultants such as:
Preece, Cardew and Rider, England Harza Engineering Company, USA Snam Progeti, Italy Societe Dumezm, France M. FAHIM ASHRAF- MBA (HRM)(AIOU)
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Miner & Miner International Inc. USA Ensa, France In spite of stiff competition from emerging local and multinational brands, PEL Group's appliances and electrical equipments have remained in the spotlight due to constant innovation. Strategic partnership with multinationals of repute have enabled the PEL Group to incorporate new technologies into existing product ranges, thus giving the Pakistani market access to innovative, affordable and quality products.
OFFICES LOCATION
REGISTERED OFFICE
WORKS
17-Aziz Avenue, Canal Bank,
14Km, Ferozepur Road,
Gulberg-V, Lahore.
Lahore
Tel: 042-5718274-5, 5717364-5
Tel: 042-5811951-7 (7 Lines)
Fax: 042-5715105
Website: www.pel.com.pk
E-mail:
[email protected] ISLAMABAD
KARACHI
Room # 1404, 14th Floor
Kohinoor Building
Green Trust Tower, Blue Area
25-West Wharf Road
Tel: 051-2273858
Tel: 021-2200951-4
Fax: 042-2273858
Fax: 021-2310330
CHINA
AFGHANISTAN
910, No. 1007, Zhong Shan Naun Er
Flat # 103, 1st Floor, Block A
Road
Qaiser Market, Kolola, Pushta,
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Shanghai, china
Kabul
Tel: 86-21-64567533
Tel: 0093-79826293
Fax: 86-21-54109971
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VISION STATEMENT
“To excel in providing engineering goods and services through continuous improvement.”
MISSION STATEMENT
•
To provide quality products & services to the complete satisfaction of our customers and maximize returns for all stakeholders through optimal use of resources.
•
To focus on personal development of our employees to meet future challenges.
•
To promotes good governance, corporate values and a safe working environment with a strong sense of social responsibility
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HR STRUCTURE
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HUMAN RESOURCE MANAGEMENT PROCESS IN THE ORGANIZATION The Human Resource Department at PEL is engaged in the areas of Recruitment & Selection, Training & Development, Performance Management, and Organizational Development, and strives to align these functions with overall Business Strategy. This organization place great emphasis on People Development so that people and the organization perform at maximum capacity in a highly effective manner.
HR Vision To achieve the Excellence through innovative HR Practices and continuously exceeding our people expectations.
HR Mission Our Mission is two-fold: •
To manage Talent and build capabilities of our people thus enabling them to deliver Sustained Performance
•
To facilitate them in creating a Collaborative Work Environment that development that develops a culture of continuous learning
Definition of Planning “A process that involves defining the organization's goals, establishing an overall strategy for achieving those goals, and developing a comprehensive set of plans to integrate and coordinate organizational work.”
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HUMAN RESOURCE MANAGEMENT PROCESS IN PEL Activities necessary for staffing the organization and sustaining high employees performance. Human Resource Planning (HRP) “An effort to anticipate future business and environmental demands on an organization and to provide qualified people to fulfill that business and satisfy those demands; HRP includes talent inventories, human resource forecasts, action plans, and control and evaluation” Planning is done to achieve the objectives positively according to vision and mission statement of the organization with time management. We can also say that HRP is parallels to general business planning. It is a process by which managers ensure that they have the right numbers and kinds of people in the rights places, and at the right times, who are capable of effectively and efficiently performing assigned tasks. PEL Planning and Forecasting basis on Fiscal Year In PEL planning is done on the basis of fiscal year. Firstly, the Budget is prepared in HR Department by each Manger of each section (Recruitment & Selection, Training & Development, Performance Management and Organizational Development) of HR and after that Head HR make the finalize the budget for the approval of owner via Managing Director. In PEL Human Resource Planning is done on the basis of Objectives or we can say in PEL management by Objectives (MBOs).
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Management by Objectives (MBOs) A management system in which specific performance goals are jointly determined by employees and their managers, progress toward accomplishing those goals is periodically reviewed, and rewards are allocated on the basis of this progress. PEL Planning Year 2008-2009 Planning of this organization basis on MBOs. Some of the main objectives of HR planning which have been targeted in last year planning are as follows: Enhancement of RMS (Recruitment Management System) PEL has it own RMS which is used for hiring process and it is also used as a internal source of recruitment. Now the objectives of Recruitment and selection is completion of listing within RMS(listing module), contact information / consultant information, system generated alerts, system generated correspondence and letters and reference check, generating the pool of 20,000 resumes, (target: 5000 resume in each quarter) etc. (Annexure-I). Personal Development Third main objective of PEL R&S department is to implementation of productivity tools and techniques, personality assessments, improving communication skills, job analysis techniques, implementing stress management and time management and techniques. Recruitment Cost Every organization want to reduce the cost and enhance/ maximize profit so for the same purpose PEL is doing calculation of recruitment cost/other ratios related to R&S (Research) and implementation.
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RMS Self service Module Another objective of PEL is the implementation of online short listing and Interview scheduling, alerts & proactive notifications to HOD / GM, interview evaluations and testing & implementation
HUMAN RESOURCE MANAGEMENT PROCESS The relationship of job analysis to HRP PEL has the total strength of 5,000 employees and its strength increased in season upto 6,000. In job analysis, HR Department analyze each department with the help of head of department that employees are working at their competencies level further at related or non-related positions. If the employees are at low competencies for that position they are trained so that they can be share their maximum skills for that position. Like, by identifying the behavioural requirement of a positions in a section, HR department said that total six employees are required in that section, in which, first is at manager level, and second an assistant manager level and remaining four are at executive level as well as the qualification and experience for that position holders. We can say that this planning is human resource planning at short time period. It has severance 50 employees on 19 September, 2008 for the right size of the organization by doing the job analyses. More understanding that to meet the challenges of the modern age, PEL hire new employees from different universities and some experienced and senior employees will hired form market in 2009. Their competencies will enhance the business opportunities. Types Of Plans There are three main types of planning which are as follows: 1. Strategic 2. Tactical 3. Human Resources
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1. Strategic Planning Hunan Resource Planning An approach to human resource management that has the goal using people most wisely with respect to the strategic needs of the organization, ensuring that people from all levels of the organization are working to implement the strategy of the business effectively. This type of planning relates to long-range process of setting organizational objectives and deciding on action programs to achieve those objectives. This strategy effects also by the forecasts of economics; technology and market; and planning of organization; investment and operations. As PEL is opening five new display centers for home appliances (Air Conditioner of Window type and Split type and deep Freezer) and for power industry (energy meters, transformers, switchgears, Kiosks, compact stations, shunt capacitor banks etc.) distribution in different city of Pakistan in summer 2009. For these new centers 30 people in number will be recruited and their skills
will at
managerial level, executive level and fresh graduates also. With opening five new display centers how much budget and number of manpower will be required by keeping in mind changing in industry or creating tomorrow for that most important points are: Philosophy: In home appliances industry it will make a contribution that people will get these appliances the same requirements which they required at economical prices. Formulating identity of statement, purpose and objectives: According to mission statement of PEL display centers are have the same mission to providing electric goods and services by getting the customer satisfaction and maximum returns to all stakeholder with optimal uses. Evaluating strengths, weaknesses, and competitive dynamics: In appliances division Strength of the PEL is that it is providing the same capacity and power appliances as compare to its competitors (WAVES & DAWLANCE) and have low prices also. Similarly in power division major competitors are Simens (Pakistan), Climax limited, Elmetec, Alstom Pakistan, Escorts Pakistan Limited. These strengths meet the needs of middle level people as well as elite class level people. In weaknesses, its competitors have more goodwill in market
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and its brands are at growing level. Overall world crises will also affect the import and local purchase of raw material. Changing in demographics and the future composition of the workforce. Determining design: In head office all components have completed in January 2009 and plans are at the end of the stage in January 2009. Each display center is connected with other center to coordinate with one another. In case of any deal, sale (credit sales), shortage of supply and transportation they can coordinate with one another under company rules. Developing strategies: Objective of the organization is measured in terms of quality as well as quantity. To enhance the sales of the organization PEL is going to enhance the sales and to increase the value of share in market. Devising programs: Regional Manger will visit the area to locate the best place in the city and understanding the nature, capacity (purchasing power) of people and will make a requisition which will include the procurement, sales, I.T. HR, marketing and other related management matters. National Sales Manger, Director General Marketing, Head HR and concerned authority is included in all management and budget will approved by the GM Finance. Head HR will plan the number of people required at what level etc with prescribed time period i.e. January 2009. 2. Tactical Planning This second type of planning relates to normal, ongoing growth of current operations or with specific problems that temporarily disrupt the pace of normal growth. Annual budgeting decisions provide specific timetables, allocations of resources and implementations standards. The shorter the planning time frame, the more specific the planning details compulsory. 3. Human Resources Planning PEL HR department plans parallel to the business plans. Like according to the business strategies of PEL that 30 candidates are required for new display center. For hiring new candidates in respective of internal sources, first of all HR department will see its Recruitment Management System (RMS) i.e. internal pool of qualified candidates on its
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Human Resource Management System (HRMS) (Annexure-G & H). Secondly, mostly used approach in PEL is employees referrals. After that third approach is that HR department move to external sources i.e. supply of fresh technical graduates and business graduates (requirement of the PEL). After that all the implication for the candidates that includes staffing, training and development, performance evaluation, compensation practices, and other management matters. This short run (tactically) planning leads to long run (strategic) needs. PEL has a general view that several interrelated activities that together make up an integrated HRP system that includes: The relationship of Human Resource to Strategic, Tactical or Operational and Annual Budget Planning: As mentioned above that strategic planning perspective is the long-rang planning (2 to 5 years). In PEL plans are made on the basis of strategic planning and relates with HRP. The main focal point is to analyze the issues like assessing the management implication of future business needs, factors assessing external to the PEL (e.g. demographic and social) and estimating the internal supply of the employees over the long run. In this strategy detailed programmed are not made. Strategic Planning: Long-Range Perspective
Business Planning Process
Human
Corporate Philosophy Environmental Scan Strengths and constraints Objectives and Goals Strategies
Issue Analysis
Forecasting Requirement
Resource
Business Needs
Planning
External Factors
Process
Operational Planning: Middle-Range Perspective Planned Programs Resources Required Organizational Strategies Plans for entry into new business, acquisitions divestitures
Internal Supply analysis Management implications
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Staffing Levels Staffing Mix (Qualitative) Organization and job design
Available/Projected Resources Net Requirements
Budgeting: Annual Perspective Budgets Unit, individual performance goals Program Scheduling and assignment Monitoring and control of results
Action Plan Staffing Authorizations Recruitment Promotions and transfers Organizational changes Training and Devlp. Compensations and Benefits Labour Relations
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Tactical Operational planning relates with HRP as forecasting of employees and employee demand. The next step after the process of forecasting is actions plan undertaken. Annual budgeting decision provide specific timetables, allocations of resources, and standards for implementing strategic, and operational plans. As the time frame shortens, planning details become increasingly specific.
HR PROCESS ALSO INCLUDES: The general view suggested several specific, interrelated activities that together constitute an HRP system, they include: a) Talent Inventory b) Human Resources Forecast c) Actions plans d) Control and evaluation (a) TALENT INVENTORY: Human Resource Information System (HRIS) of PEL helps to collect the talent inventory in all over the organization. Talent inventory is attention on accessing the current human resources (skills, abilities and potential) and attention to analyze how they are currently being used so that actual HR forecasting is composed on record. It contains the record of all employees including managerial and non-managerial. HRIS contains all the competencies of the employees which include:•
Current position information
•
Previous position in the company
•
Other significant work experience (e.g. other companies)
•
Education (including degrees, licenses, certifications)
•
Languages skills and relevant international experience
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•
Training and development programmes attended
•
Community or industry leadership responsibilities
•
Current and past performance appraisal data
•
Disciplinary actions
•
Awards received
So against the HRP of the PEL HRIS provide the talented inventory also.
(b) FORECASTING HR REQUIREMENTS
The human resource planning activity that predicts future human resource requirements, including the number of workers needed, the number expected to be available, the skills mix required, and the internal versusu external labour supply. In PEL forecasting is done on the basis of one year planning instead of employees turnover ratio. How much employees in the organization will remain and after how much new employees to be hired/recruited by HR department. In fact, this organization is managing all the HR related issues with respect to objective of the organization and the hiring new people on the basis on requisition form received from any department. It has a small focus on predicting the future HR requirements (the number of characteristics, the skills mix required, internal versus external labour supply). Less focusing on long term needs i.e. strategic planning.
METHODS TO FORECAST HR NEEDS There are two main methods to forecasting the HR Needs which are as follows:(i)- Forecasting Internal Human Resource Supply:
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The most common approach for new hiring and recruiting employees is forecasting internal human resource supply. Cruuent employees of PEL reflect the future supply of employees/labour. Performance Management Development (PMD) Section of HR department is working for internal human resource supply of management level and Industrial Relations & Administration (IR&A) Section is forecasting for nonmanagement employees (labour also). The process for developing such a plan including setting a planning horizon, identifying replacement candidates for each key position, assessing current performance and readiness for promotion, identifying career development needs, and identifying the career goals of individuals with company goals, the overall objectives, of course, is to ensure the availability, of competent executive talent in the future or, in some cases, immediately, as when a key executive dies suddenly. All this process is played in action by the PMD Section with the compliance of the Recruitment and Selection (R&S) Section. Current Strength: Talented inventory for forecasting internal human resource supply is provided by the plans of PMD Section (executive level) and IR&A (lower than executive level) also maintain the corporate level planning of the PEL. Loss Coverage: Under this method of forecasting losses are made up of resignations, dismissals, transfers, and retirements and these losses are assessed by historical data, modified by the current and future trends. Retirements figures are based on a review of individual retirement rages. PEL make the succession plans by cutting cost of this loss. Feedback: It is determined by PMD Section by two ways: (1)
As a part of the annual appraisal
process, mangers identify those employees who are considered promotable with the next 1 years planning cycle; and (2)
In a separate annual process,
mangers identify high-potential individuals who have the ability to progress to two responsibility level higher – in more than one function—during 4 year forecasting. By forecasting the specific position requirements are the specific knowledge and skills, for the said purpose PEL make the individual careers as well as for the development of its career also. (ii)- Forecasting External Human Resource Supply
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Naturally, PEL required electrical graduates, business graduates and labour. So the distribution of the work depends upon the pre-described criteria. PMD and R&S section (PEL HR department) give the second preference to this approach of forecasting. But recruiting and hiring new employees is virtually essential for PEL as well as all the firms at least over the long run. In case of loss of internal supply of HR forecasting external supply helps also. R&S section further make HR supply
in case of expansion of
operations to normal workforce attrition. (iii)- Forecasting HR Demand In PEL, HR department (PMD and R&S Section) also have keep in mind forecasting HR demand as well as supply. It depends on changes in technology; consumer attitudes and patterns of buying behavior; local, national and international economics; number, size and types of contracts won or lost; and government regulations that might open new markets or close of old ones, just to name a few. Consequently, forecasts of HR demand are often more subjective than quantitative, although in practice a combination of two is often used. This forecasting is done by experts (Managers) who estimate the level of future demand for human resources. PEL select expert managers form corporate level planners like Head HR, National Sales Manger, DG Marketing and GM Procurement etc. (c)- Matching Forecast Results to Action Plan Action plans: PEL is doing its best efforts to complete the project with prescribed time period and to enlarge the pool of qualified candidates by such action plans like R&S section for recruitment, selection, and transfer; and PMD section for promotion, placement and development; T&D section for training and development; whereas IR&A for all labour issues and compensation also. Training programmes are designed to enhance the individual employee competencies as well as for group employees. The competent employees in PEL also train the other colleagues competencies by given the special assignments under reporting officer.
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Control and Evaluation of HRP System The last and most important step which provides the feedback on the overall effectiveness of the HRP system is done by monitoring the degree of attained HR objectives. Feedback works as a backbone of the HR system. The main purpose of this step is to guide the HRP activities, identifying deviations from plans and causes of those deviations. PMS section monitors the performance under the performance evaluation tenure (quarterly). Quantitative objective maker the control an evaluation process more objective and measure deviations from desired performance more specifically.
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EMPLOYEE RECRUITMENT AND SELECTION IN PEL Recruitment “The process of locating, identifying, and attracting capable applicants.” Decruitment “Techniques for reducing the labour supply within an organization.”
PEL EMPLOYMENT POLICY PEL recruit and staff the organization with competent, trained and motivated individuals. Selection is done on merit and capacity to perform the duties and accept the responsibilities of the job. Equal employment Opportunities PEL provides equal employment opportunity for all applicants and employees. It maintain a policy of selecting, analyzing, training, training compensating and advancing employees on the basis of ability, education, training, performance and experience with regard to race, color, religion, sex or age. Employee conduct or conservation, whether intentional or unintentional, that result in verbal or physical harassment, abuse or intimidation against any person on the basis of race, sex sexual, orientation, age or disability is unacceptable. Inappropriate remarks and jokes based on these or other personal characteristics are particularly offensive and unacceptable. Such conduct will result in disciplinary action up to and including discharge.
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Grievance Resolution PEL has an “OPEN DOOR” policy. The objective is to build and promote an open, productive working relationship between employees, supervisors and management where their opinions and may be expressed openly, without fear of ridicule or reprisal. There is a time when an employee has a problem the needs to be resolved- PEL expects employees to the first take the matter directly with their immediate supervisor. If the problem is not handled or resolved at that level, the problem or complaints is forwarded to the Human Resources Department who listens to the problems and attempts to work out a satisfactory. However, on certain occasions when it is imperative to employees to directly take up the problem to the Managing Director due to the nature of the problems then he can do the same.
EMPLOYEE RECRUITMENT PEL recruitment system is centralized on HR department which look after all recruitment activities and provides coordination to other departments in this regard. Designation Cadre Wise (Management Level) M6:
MD
M5:
GM & Director
M4:
Sr. Manager
M2-M3:
Manager
M1:
Assistant Manager
E1:
Sr. Executive
E2-E3:
Executive
JE:
Junior Executive
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Job Analysis: “An Assessment that defines jobs and the behaviors necessary to perform them.” Head of department do the analysis of the section as well as his/her subordinates. He knows very well where gap for proper or completer working is. To fulfill the requirements of his section objective which lead to company objectives as well company mission statement and vision statement, he fulfills the Man-Power Requisition Form. Types of Vacancies There are two main types of vacancies in PEL which are as follows: • New Vacancy • Replacement (Existing position) Man Power Requisition Form A requisition is approved Man-Power Requisition Form (MRF) in PEL and it is a formal document that authorizes the HR department to initiate recruitment process for the filling of all requests for professional employees, permanent or temporary, the vacant positions. Section Incharge who required candidate or candidates for a position, either based on new vacancy or replacement for productivity of the work, will fill the company requisition form. This form contains all the information about the criteria of the required position such as number of position, title of position, grade, education, experience, age etc. Now this form is sent to HOD/GM of the concerned department for and HOD/GM will forward this form to HR Department (Annexure-D). Requisition Form Submitted to HR Department In HR Department Manager Recruitment and Selection (Manager R & S) do the analysis of the required position criteria mentioned on requisition form. Now this
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form will be forwarded for approval to concerned authority. If the position Grade is Junior Executive to Executive 1 (JE - E1) then that position is approved by Head HR. If the position is for a Manager (M1 to M5) then that position is approved by the Managing Director (MD). After the approval of vacancy or vacancies, requisition form is marked to Manager (R & S). Now he will start to search the candidate. Source for Vacancies filling Manager (R & S) is using two main sources for filling of the candidate which are as follow: a) Internal Source b) External Source a) INTERNAL SOURCE •
Employee Referrals Employee referrals mean current employees provide names of potential employees in exchange for a referral fee. In PEL, mostly recruitment is on basis of employees referrals but they do not pay fee to employees on their willing.
•
Internal Hiring (RMS software of PEL) PEL has its own software for Hiring named as Recruitment Management System (RMS). It contained about 20,000 resumes of all sectors related to company (Annexure-I).
b) EXTERNAL SOURCE Firstly, HR department do its best efforts to recruit employees through internal source because the cost is saved in this source otherwise PEL HR is using the following external sources for recruitment.
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•
Colleges/Universities Fresh graduates of Engineering Line are hired from University of Engineering, Taxila and Lahore, Ghulam Ishaq Khand (GIK). But most of the students are hired from UET Taxila. For Management Line, students are hired from National University (NU-FAST), Lahore University of Management Science (LUMS), Institute of Business Administration (IBA), University of the Punjab (PU), Quaid-e-Azam University, Islamic University, Islamabad. Internee: The second way to hire the fresh Graduates/Master degree holder students from universities is Internee. During the internship, students are assigned special assignments; if the students qualify the assignments successfully they are also offered for job.
•
Advertisement in Print Media Print Media is also used in PEL for Hiring through external sources. Ads are given in "Daily Jang", "Daily Dawn" newspapers and also at international newspaper like "Khalige Times". (Annexure - B & C).
•
Company Web Site New vacancies are also uploaded on web site of the PEL (www.pel.com.pk\career). So third way to fill the position is the company web site.
•
Employment Agencies PEL is hiring the employees through employment agencies. It prepare the job description and job specification according to their required candidate and forward to recruitment agencies. The main responsibility of the recruitment agency is to hire the candidate for PEL and the next all working responsibility depend on PEL. The agency demand about one month salary of the candidate for payment.
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Sorting received Resumes/Applications After the closing date of the submission of resumes/applications, R & S section Executives will sort the resumes on the basis of mentioned Criteria for Job description and Job Specification in Man Power Requisition form. (Qualification, Experience, Specified working experience). Job Description: A written statement of what a jobholders does, how it is done, and why it is done. Job Specification: A statement of the minimum qualifications that a person must possess to perform a given job successfully. (Annexure-J). Whenever executives prepared the sorting list of qualified candidates the list is given to Manager R & S. Sorted List of Candidates forwarded to HOD/GM Manager R & S will forward the sorted list of candidates to concerned HOD/GM. He/she will recommend the candidates and HR department will calls to sorted candidates. Telephonically Interview An experienced person is selected in such type of interview. It about taking the views of the candidate and he is finalized by the same process which is described below after the recommendations of the interview panel. Manager (R & S), HR department is conducting the telephonically interview in PEL. First of all the profile description is described by candidate after that Manager asked the relevant questions of his job and he calls him/her for further interview/salary fixation etc. Call for Interview/Test to short listed candidates HR department will call to recommended candidates for Initial Interview with date and time.
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Test: Fresh candidates enter in PEL through a standard test which includes: •
Mathematics
•
English Grammar
•
General Knowledge
•
Current Affairs
•
Related Filed Questions
In some exceptional cases like experienced candidates are not examined by test, they are selected by interview for same post.
SELECTION PROCESS
The process of screening job applicants to ensure that the most appropriate candidates and hired. Criteria for selection: Candidates are selected of the basis of Job Description and Job Specification. Interview Detailed Form This form is just like a Resume/C.V. of candidate which contained personal profile, qualification, Salary information, major assignment and achievements, computer proficiency, Personal career vision, inspirations, personal S.W.O.T. and personal life etc. Initial Interview by Manager R& S On the said date and time the candidates will come for interview in HR Department then HR department will give him Interview Detailed form. JE to E1: First interview is conducted by the Manager (R & S) with HR representative (not below the ranked of the Assistant Manager) and concerned
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Internship Report on PEL HR Department
HOD. At the end of interview it is decided that the candidate has recommended for selection or he/she is recalled for a nominated panel interview. M1 and above: the above motioned interview process (JE to E1) is same for M1 and above cadre (Excluding Test). Initial is conducted by the concerned GM /HOD, Head HR Department and Manager (R & S). The interview evaluation form is same. In some exceptional cases (An Aptitude Test) can be conducted by the candidate.
Interview Evaluation Form PEL is conducting a very good approach to evaluate the candidates through a written criteria (IEF) form and this form (Annexure-E & F) is filled by the HR Representative in that Interviewer which includes like name of candidate and position applied for and others:•
Personal Traits Observation: At the time of the interview the candidate is observed in personal traits like: Appearance Observable traits Skills Competencies
•
Salary and Benefits: It include the questions related to experience of candidate such as; Last salary drawn Expected salary Joining Date
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•
Rating: The evaluation is done on the basis of rating in a numerical form like; 1=
Poor
2=
Satisfactory
3=
Good
4=
Very Good
5=
Excellent
The most important points are also kept in mind which is: Recommendation for candidates: Additional Comments Final Approval Recommended Salary and Grade DISC Analysis: DISC is probably the most widely used behavioral profiling system in the world. In this guide, we explore the history and workings of the DISC technique, and look at some of the ways that it can be make a significant difference to the way you deal with people. In PEL the candidate is analyzed on the basis of DISC that the selected candidate will stay, if remain, for how much time, or not. D
=
Dominance
I
=
Influence
S
=
Steadiness
C
=
Compliance
Panel Interview Successful candidates in initial interview are called for the next interview on basis of merit list which is called nominated panel interview. Only the recommended candidates by the first interviewer or short listed candidates are called for the nominated panel interview. M. FAHIM ASHRAF- MBA (HRM)(AIOU)
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JE to E1: After the initial interview the Manager (R & S) and concerned HOD will recommend to GM / Head HR and Manager (R & S) panel for selection or he/she is recalled for a final interview. M1 and above: After the initial interview by the GM / Head HR / Manager (R & S) will recommend to MD/ Director for selection or he/she is recalled for a final interview. If the candidate is finalized in all aspects of the interview he is finalized at same time otherwise he is recommended for the final interview. Final Interview JE to E1: If the candidate is not finalized in all aspects of the interview in panel interview, he is finalized in this interview. After the nominated panel interview the Head HR /Manager (R & S) and concerned HOD will take final decision for confirmation or rejection of the candidate. M1 and above: If the candidate is not finalized in all aspects of the interview in panel interview, he is finalized in this interview. After the nominated panel interview the Head HR will recommend to MD / Directors and 2/3 GMs for final selection or rejection of the candidate. Interviewee called from outstation is paid by bus/rail return fare.
Reference Checking After the confirmation of the employees the candidate can also be checked by his/her given reference in C.V. so that his behavior, attitudes and habits can be accessed. The best way to analyse the on-the-job employee candidate is that ask the last organizations about his employment history and his SWOT analysis questions.
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Confirmation of Candidates JE to E1: At this level of candidate is confirmation or rejection of the candidate for employment is done by Head HR and GM. M1 and Above: At this level of candidate is confirmation or rejection of the candidate for employment is done by MD/ CEO. Salary Fixation: Head of HR Department in consultation with the concerned General Manager / Head of Department will determine the salary of new inductee. Following factors may be kept in mind while determining the salary:•
Qualification
•
Experience
•
Grade
•
Existing salary structure of the company / Department
Job Offer Letter On the final recommendation of HR Department, the candidates are offered a standardized and confidentional offer letter for the selected which includes the followings: •
Position Title
•
Grade
•
Probation/training for the period of 3/6 months
•
Name of Reporting Manager
•
Policies & Procedures
•
Provident fund as per Company Policy
This letter is valid for 3 days offer letter.
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Acceptance of Job The candidates will give the acceptance of the agreement and his period of employment start and his/her probationary period as well as for confirmed employment. Medical Examination The selected candidate after the acceptance is examined by the doctor of the PEL for a successful future with them. After the positive report the candidate will continue his/her service or is rejected, if he/she is on negative report. The candidate is rejected because at the initial stage as well as continuously will does the loss of the company. Employment Form Profile of the employee is recorded on the employment form which is normally mention in his Resume. Letter of Appointment The most important rules and regulation of the company is mentioned same as in letter of appointment like: •
Position Title
•
Grade
•
Probation/training for the period of 3/6 months
•
Name of Reporting Manager
•
Policies & Procedures
•
Provident fund as per Company Policy
JOB DESCRIPTION
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With the issuance of letter appointment, a proper letter is issued by Recruitment & Selection Section of HR department which includes the job title, grade/level, department, reporting officer, location, working condition, and level of authority. All the duties and responsibilities are headed by the said section. This letter also includes the job specification (Annexure- D). Joining Report: On acceptance of the offer letter Job Description and Job Specification the candidate will give the joining report in writing. Orientation Introduction of a new employee to his or her job and the HR Policies of the organization. Concerned Manager explain about the Job Description and introduce with department. It includes the orientation of the unit of the PEL which is introduced by HR representative. Probation Period for Executive/Senior Executives Positions: For employees up to Executive level the probationary period shall be 3 months with one-month notice period for separation. But the probationary period of trainee for management level i.e. Management Trainee Officer (MTO) and Trainee Engineer (T1/T2) is for 6 months. Probation Period for Managerial Staff: For Management cadre the probationary period are 6 months with 3 months notice period for separation. Employee Probation Report: In order to make assessment of the new entrants, HR Department shall initiate Employee Probation Report, this report shall be sent under confidential cover to respective GM/Head of the Department, for assessment and views. The same is returned to HR Department for issuance of confirmation letter as endorsed by the GM/Head of Department.
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Trainee Salary The salary of trainee is mentioned only as Basic salary in their software and he/she is not entitled to gain any benefits of the organization. Extension in Probation Period: Normally the probation period is not extended, however, in some cases it may be considered. If the probationary period is extended of any trainee he will received the same basic salary and no any other benefits by the company. Confirmation/Termination A letter is issued by HR which titled as “CONFIRMATION” after that the employee will get all the benefits of the organization. i.e. •
Basic Salary
•
House Rent Allowance
•
Utilities
•
Conveyance Allowance
•
Special Pay
This letter is also contained his cadre, designation, salary amount and provident fund contribution declaration. Group Life Insurance (Metropolitan Company) Whenever the employee is declared as permanent, on the same day, his insurance day is start and his name is forwarded to Metropolitan Company in the list of insured Group employees of the PEL. Human Resource Management System (HRMS). All the activities of the Human Resource Department is recorded and in PEL on their on Human Resource Management System (HRMS).
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TRAINING AND DEVELOPMENT Training Planned programs designed to improve performance at the individual, group, and/or organizational levels. Development The managerial function of preserving and enhancing employees competence in their jobs through improving their knowledge, skills abilities, and other characteristics Training and development Phase of Training The phase whose purpose is to design the environment in which to achieve the objectives defined in the assessment phase by choosing methods and techniques and by delivering them in a supportive environment based on sound principles of learning. There is proper working in PEL HR department named as Training and Development (T & D) Section headed by Assistant Manager (T&D) with assistance of 3 executive level employees. During my internship I observed that PEL has two types of employees, one is at management level (JE to M6) and second is technical staff (S1 to NG). The source of training is performance evaluation report of employees in which reporting officer has mentioned that his subordinates required training or not. 1. Align learning with business After assessing the TNA form, type of programme is finalized and his/her learning programme is aligned with business objectives. Such as Sales Forecasting programme is aligned to enhance the business of PEL automatically.
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2. Integrate learning with HR and other business processes During my internship, I observed that the Sales Forecasting programme was integrated with business objectives that sales will increase the profit of PEL and it will also increase its share value in market. Similarly the HR vision will vision will meet its expectation like excellence people through innovative HR practices. People become talented and their competencies increased through training. 3. Create a learning culture This learning programme (Sales Forecasting) was arranged in Auditorium of PEL. They set the mind of the employees that learning is activity will also be favourable in their own career. Employees are given certificate after the completion of training
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programme which build his/her career. So the employees automatically take interest in learning. 4. Provide appropriate learning options In case of appropriate learning, PEL is offering only two options. One is in its factory position and other outside the organization. Other option is off-the-job training programme which also make the future of the employees independently to PEL. 5. Manage learning effectively An agenda is finalized in which time period is mentioned and implementation is made accurately. During the training programme practical study case, business games and critical incidents etc. are given as assignments and their weighted is added in final marks. So the employees focus on their Grade on Certificate. 6. Support application of skills in workplace During the training programmes employees are purely focused on its implementation on workplace. The result of the training programme outcome with at least 6 months. Application of training programme fully support the work. Training Design, Implementation Methods and Evaluation On the recommendation of the reporting officer training programmes are designed and Design of the programmes according to the level of employees and budget for training. Training programmes have also different methods for implementation. According to designed programmes and budget aspects trainers are hired and internal section do the planning. Most of the groups training is given in the Auditorium of PEL and individual training are given through external sources like LUMS, UMT and foreign countries. The best method is used for training for best learning of employees. Training channels used in PEL are Presentations of computer slides, audio visual and latest equipment and technology for technical staff. After the completion of the training employees are Evaluated through Evaluation form and normally training results outcome after 6 months at least.
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TRAINING NEED ASSESSMENT (TNA) To assess the employees that what type of training employees need. In PEL, T&D section has a from to asses the employees for training needs called Training Need Assessment (TNA) form e.g. form of Communication Skills (Annexure-G). After TNA forms collection T&D section adjust the employees either for on-the-job or off-the-job training. TNA form contain competencies of the employees like knowledge, skills (technical also), values, attributes and communication skills. Types of Training The following 16 main types of On-the-job Training adjust all the employees in PEL because these training programmes lead to mission and vision statement of the PEL. (Annexure-L) •
HR Skills for Line Manager
•
Leadership
•
Total Quality Management Communication Skills
•
Strategy Making
•
Problem Solving / Decision Making Skills
•
Communication Skills
•
Financial Skills
•
Supply Chain Management
•
Building managerial Competencies
•
Lean Manufacturing
•
Sales forecasting
•
Time / Stress Management
•
Team Building
•
Negotiation Skills
•
Finance for Non-Finance Manager
•
MS- Intermediate level
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•
MS- Advance Level EMPLOYEES DEVELOPMENT
The major techniques are using in PEL to develop employees are given below: (A)
Techniques for Individual Development
(B)
Techniques for Group Development
(A)
TECHNIQUES FOR INDIVIDUAL DEVELOPMENT 1) Job Analysis and Description:
PM section of PEL HR department do
assessment of the kinds of skills, knowledge, and abilities needed to successfully perform each job in an organization. Job Analysis Components PEL is focusing on following two major components which defines as: •
Job description A written statement of what a job holder does, how it is done, and why it is done
•
Tasks, duties and responsibilities that the job entails.
Job specification •
A statement of the minimum acceptable qualifications that an incumbent must possess to perform a given job successfully
Knowledge, skills, and abilities required of the job holder
2) Test and examinations: After given the training for the management development of the individual development trainer take the test by written test of the employees mean that by adopting this simple method is to write a narrative description and employee’s M. FAHIM ASHRAF- MBA (HRM)(AIOU)
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strengths, weaknesses, past performance potential, and suggestions for improvement. The written essay requires no completes forms or extensive training to complete special test are Aptitude Intelligence Ability interest test batteries
3)
Questionnaires: During and after training impel PEL trainer also ask questions
which is also a good techniques for the development of management. The fist type provides a list of times to ticked, alternative answers to be selected, and blanks to be filled in. it could also have a scaled structure or require “yes/no” responses. The second type offers an opportunity to give a more complete and comprehensive picture of a situation.
4)
Interviewing: In PEL as well as in all the organization in the world this technique is
used for the development of the management and different purpose and many different ways. This purpose is to get information may concern Events Work results Knowledge behavior Attitudes Opinions values Habits Perceptions
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5) Observation: This Company has also solution of the development problems apparent only through systematic care observations is done which help for development. Observing a regular management meeting, watching a Supervisor/Manger/HOD dealing with people or problems, or observing manager full time. 6) Critical Incidents: PEL also developing its employees individually by critical incidents, it is defined as: “Evaluating the behaviors that are key in making the difference between executing a job effectively and executing it in ineffectively.” For the management development a Supervisor/Manger/HOD see critical incidents by which the evaluator attention on the behaviors that are key in main the difference between executing a job effectively and executing it ineffectively. That is, the appraiser writes down anecdotes that describe what the employees did not vaguely defined personality traits. A list of critical incidents provides a rich set of examples from which the employee can be shown the behaviors that are desirable and those that call for improvement. 7)
The Diary Method : In this company Supervisor/Manger/HOD also record the
activities over given period of time, selectively or be confined to events regarded as critical incidents can be done by diary method. So this approach is also a good development technique to achieve the objectives of PEL. 8) Management by Objectives (MBO): Basically in PEL employees are evaluated by how well they accomplish a specific set of targeted/assigned objectives to be critical in the successful completion of their jobs. 9) Self Assessment: This is a method in PEL by the order of HR department for self-assessment through which an individual will save his/her career by availing the opportunity to test present skills in an environment where he/she fails. So it helps to develop existing skills.
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10) Career Planning: Where the Supervisor/Manger/HOD of the PEL, compulsory to described objectives; there he has to also described the performance, behavior, competence and training need or the individuals for career planning. 11)
Action Learning: In real life experiential learner is using real-life experiences to
change behavior or attitudes, also uses element of action learn learning. However, when describing experiential learning we have in mind not a set of techniques or a type of program but a broad concept of utilizing real-life experience to learning. Action learning comprises a set of logically interconnected activities that are structured specifically of achieving personal learning and organization change. 12) Training from abroad: In PEL Employees are also trained by international training seminars, session and institutions in respect of off-the-job training. Only GM level (M4) employees go to abroad for training to remain in-touch with latest technologies and according to the requirements of the organization. All the expenses are compensated by the PEL. In October, 2008 Mr. Waqar Khadim, Head HR went to abroad to attend the International HR Seminar in Germany for 10 days.
(B)
TECHNIQUES FOR GROUP DEVELOPMENT
After the sorting and analysis of TNA forms most of the employees fall in the same category training. So T&D section design the group plans for development of the employees which are as follows: 1)
Group Meetings
An evaluation method that places employee into a particular classification, such as quartiles meeting in PEL . It requires the evaluator to place employees into a particular classification, such as top one-fifth or second one-fifth.
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2)
Group Projects: During on-the-job training in PEL groups are assigned a project
like to opening a new unit for sale. Then SWOT analysis of the unit. Such a group projects serve a wide range of company objectives. In PEL two tend to prevail (i) a temporary group is established on a part-time basis, with the agreement and support of senior a management, (ii) a group is established with the combined objective of working on a practical problems and of learning specific skills in the course of this process.
4) Business Games A situational test in which candidates play themselves, not an assigned role, and are evaluated within a group. During my internship, I observed that trainer from UMT trainer the employees by the same practice. Firstly a group of 30 employees stand in an unshaped form not in proper circle and they catch the ball to each other. After 5 minutes trainer make a group of only 15 employees and they catch ball each other. In last, a group of only 5 boys stand in a circle shape and said to catch the ball in a circle shape also. Trainer drew the result if the employees work according to plan and direction they will have a clear objective and will get their target with prescribed time period. So this approach also develops the employees in management. 5) The case Method During the training of sales forecasting program, I observed that employees were assigned a case to enhance their sales by doing the SWOT analysis that how they forecast their sales with competitors. This method stimulates and synthetic work involved in preparing and proposing solution to business problems.
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PERFORMANCE MANAGEMENT
Performance Management System “A process of establishing performance standards and evaluating performance in order to arrive at objectives human resources decisions as well as to provide documentations to support those decisions.”
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Internship Report on PEL HR Department
PEL Company makes the personnel movement to place employees in positions where their effectiveness is best utilized within the organization. This is achieved thorough proper matching of skills, capabilities individual aspirations of current employees against the current and potential manpower needs of the organization. Internal Advancement / Promotion PEL encourages internal advancement for advancement for employees. Seniority is not necessarily a factor in promotions. The ability to perform required duties well is the main consideration. Regular performance evaluation PEL holds regularly scheduled performance evaluation. The first evaluation takes place in 3 months after an employee’s start dated to give the employees a feel for who things are going early enough to make any necessary adjustment. If the evaluation goes well the employees is awarded regularly full time status. The next evaluation takes place one year after the employee’s start date and annually after that. Possible salary adjustments are considered at every annual performance evaluation. PERFORMANCE REPORTS WRITING STYLE In PEL performance report are written online in PMDP. Online forms are filled in its internal website and finally rating is done on the basis of competencies. Performance Management & Development Process (PMDP) in PEL Online forms are filled in PEL. They have their own internal online system which includes the following characteristics like: Performance reports include the following important particulars like: General Information of Employee: It includes the profile of the employee, appraisal status last year and name, ID, designation, cadre, section, education, joining date, previous experience, last promotion (Last/ No. of promotion).
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SETTING PERFORMANCE STANDARDS AND EXPECTATION All the companies have different standard for performance appraisal. In PEL, Performance Standards are set on the basis of numerical rating form e.g. 4
=
Outstanding
3
=
Very Good
2
=
Good
1
=
Need Improvement
Perromance reports writing include all competencies of the employee mentioned below are filled by the Reporting Officer of the employee and forwarded to Manager (Performance Management and Development) in HR Department. 1. Leading & Developing - Collaboration Work or act jointly with others and establish a high level of motivation Executives commitment and productivity among them. Work or act jointly with others and provide supportive environment by Managers
securing necessary resources and removing blocks to effective working.
Helps individuals think through issues for themselves. 2. Change Management Implementation of change initiatives. Supports innovation and creativity Executives
and able to face challenges. Remains flexible to meet constantly changing and sometimes opposing demands.
Managers
Plans and implements change initiatives. Supports innovation and creativity by encouraging staff to accept and resolve challenges. Remains flexible to meet constantly changing and sometimes opposing demands.
3. Work Coordination Follows instructions through a standard work process; performs routine Executives tasks; checks work for accuracy before completion of tasks 4. Delegation Executives Able to assign responsibilities according to the capabilities of individual
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subordinates and empowers them to perform. Manages his own annual leaves (enjoys time out). Able to assign responsibilities according to the capabilities of individual Managers
subordinates and empowers them to perform. Manages his own annual leaves (enjoys time out). Encourages/organizes leave plan for his/her subordinates and department.
5. Team work Executives Managers
Involve others in own area and ideas. Keeps others informed. Utilizes team member's skills. Helping the team members for enhancing their skills. Involve others in own area and ideas. Keeps others informed. Utilizes team
member's skills. Helping the team members for enhancing their skills. 6. Strategic Thinking Executives Give the suggestion for strategies. Anticipates needs, forecast conditions and plans keeping the overall Managers business strategy importance in mind. 7. Planning & Organizing Executives Plans ahead and demonstrates good organizing skills. Managers Plans ahead and demonstrates good organizing skills. 8. Communication Able to clearly communicate with others verbally and in written form. Good Executives in developing the relation with others. Able to clearly communicate with others verbally and in written form. Good Managers in developing the relation with others. 9. Negotiation Exchange views and proposals with an eye to reach agreement by sifting Executives possibilities, proposals and pros & cons. Exchange views and proposals with an eye to reach agreement by sifting Managers possibilities, proposals and pros & cons. 10. Initiative & Efforts Able to come up with ideas to improve business and work practices where Executives opportunity arises. 11. Self Learning Executives
Manages self to learn new things at work place and away from it.
Managers
Manages self to learn new things at work place and away from it.
12. Creating Learning opportunities
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Executives Managers
Evaluate experience of self / others and create new learning opportunities and learn from them. Evaluate experience of self / others and create new learning opportunities and learn from them.
13. Problem Solving & decision making Decisive action within an accepted time frame, effectively choosing Executives between alternatives, decision well under severe pressure. Decisive action within an accepted time frame, effectively choosing Managers between alternatives, decision well under severe pressure. 14. Health Consciousness Take care of his own health, follows daily/weekly exercise regime. Executives Participates in sports/games. Take care of his own health, follows daily/weekly exercise regime. Managers Participates in sports/games. 15. Clarity of Thoughts Executives Anticipates needs, forecast conditions, plans and thinks logically. Managers Takes responsibility in moving the company to wards its vision 16. Quality Provides high quality services, processes, programs & products while Executives consistently seeking to improve outcomes and enhance service. Provides high quality services, processes, programs & products while Managers consistently seeking to improve outcomes and enhance service. 17. Empathy Executives Demonstrates genuine concern for others and respects and values people. Demonstrates genuine concern for others and expends considerable effort to Managers
understand the real needs, concerns and feelings of others and assist them
without expectations of rewards. 18. Leave Management Encourages work-life balance by organizing leave plan for himself / his Executives subordinates and department. Encourages work-life balance by organizing leave plan for himself / his Managers subordinates and department. Employee Strength and development Needs
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Reporting officer will also recommend for employee strength and development and will forward his request to HR department then HR department will take the final decision on those competencies of the employee. Recommended Training Areas Training areas are defined by the reporting officer and according to T & D department his schedule for training is finalized. Promotion Recommended Quarterly appraisals shows the employee status and finally concerned Authority recommend for promotion or not. Salary Increment Salary is increased on the basis of Profit Margin, PEL criteria and policy, salary is finalized by HR department. It is also kept in mind that the A, B, C & D Block which shows the rating of the employees appraisal. At the time of increment of salary increment is add in Basic Salary and Adjustment is made as separate allowance.
Bell Distribution for 2007-08 Bell
Increment
A
10%
20%
B
20%
16%
C
40%
14%
D
20%
12%
E
10%
08%
Finally aggregate is made on percentage i.e. Promotion is 5% which will be add in previous salary. Employee’s Comments
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After filling of the form it is reviewed by same employee and his comments are written on the report and forwarded to HR Department. Final Approval HR gives the final approval of the employee performance on the basis of concerned officer recommendation, last performance appraisal (3 to 5 years).
Techniques for Evaluation Some specific techniques in PEL are used for evaluation of employees’ performance are given below by which can be used by a manager: 1. Written Essay 2. Critical incidents 3. Graphic Rating Scales 4. Behavior Anchored Rating scales 5. Forced Comparisons 6. Multiple option of Evaluators like Senior Staff Member 7. Evaluate Selectively 1. Written Essay PEL company evaluate the employees i.e. by written test of the employees mean that by adopting this simple method is to write a narrative description and employee’s strengths, weaknesses, past performance potential, and suggestions for improvement. The written essay requires no completes forms or extensive training to complete. But in this method a good or bad appraisal may be determined as much by the evaluator’s working skill as by employee’s actual level performance. 2. Critical incidents “Evaluating the behaviors that are key in making the difference between executing a job effectively and executing it in ineffectively.” For
the
evaluation
of
the
employees
performance
in
PEL
company
a
supervisor/GM/HOD can see critical incidents by which the evaluator will attention on
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the behaviors that are key in main the difference between executing a job effectively and executing it ineffectively. That is, the appraiser writes down anecdotes that describe what the employees did not vaguely defined personality traits. A list of critical incidents provides a rich set of examples from which the employee can be shown the behaviors that are desirable and those that call for improvement so by using the critical incidents a can also evaluate the performance of the employee. 3. Graphic Rating Scales “An evaluation method in which evaluator rates performance factors on an incremental scale.” Managers in PEL also evaluate the performance of the employees by using this method that is one of the oldest and most popular methods of evaluation is use of graphic rating scales. In this method, a set of performance factors, such as •
quantity and quality of work,
•
depth of knowledge,
•
cooperation,
•
antecedence, and
•
initiative is listed.
The evaluator then goes down the list and rates each on incremental scales. The scale is specified in five points, such as job knowledge is rated 1 (“poorly informed about work duties.”) to 5 (“has complete mastery of all phases of the job”). Although they don’t provide the depth of information that essay or critical incidents do, graphic rating scales are less time-consuming to develop and administrate. This method is also allow for quantitative analysis and comparison 4. Behaviorally Anchored Rating scales (BARS) “Scales that combine major elements from the critical incident and graphic rating scale approaches: the appraiser rates the employees based on items along a continuum, but the points
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are examples of actual behavior on the given job rather than general descriptions or traits.” In this company behaviour and performance dimensions of employees are found by asking participants to give specific illustrations of effective and ineffective behaviour regarding each performance dimension. These behavioral examples are then translated into a set of performance dimensions, each dimension having varying levels of performance which is finalized by the Managers. 5. Forced Comparisons The fifth one method for PEL employee is to evaluate one individual’s performance against the performance of another. There are two main ranks for forced comparisons •
Group order ranking
•
Individual Ranking
Group Order Ranking: An evaluation method that places employee into a particular classification, such as quartiles. It requires the evaluator to place employees into a particular classification. Evaluators are asked whether the employees ranks in the top 5 percent of the company, the next 5 percent, the next 15 percent, and so forth. But in this type of performance appraisal, managers deal with all their subordinates therefore, if rater has 20 employees only 4 can be in the top fifth and, of course, 4 must also be relegated to the bottom fifth. Individual ranking: An evaluation method that rank-orders employees from best to worst. If the manager is required to appraise 30 employees, this approach assumes that the difference between the first and second employees is the same as that between the twenty-first and twenty second. Even though some of employees are closely grouped, no ties are permitted. The result is a clear ordering of employees, form the highest performance down to the lowest. 6. Multiple options of Evaluators like Senior Staff Member For the evaluation of the PEL company employees as the number of evaluators’ increases, the probability of attaining more accurate information increases. If rater error
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tends to follow a normal curve, an increase in the number of appraisers will tend to find the majority congregating about the middle. We often see multiple evaluator’s in competitions in such techniques as driving and gymnastics. A set of evaluators judges a performance, the highest and lowest score are dropped, the final evaluation is made up of those remain. The logic of multiple evaluators applies to organizations as well so by using the multiple options by a senior staff members are evaluate better. 7. Evaluate Selectively By using this technique appraisers evaluate only in areas in which they have some expertise. This precaution increases the interpreter agreement and makes the evaluation a more valid process. It also recognizes that different organizational levels often have different orientations toward those being rated and observe them in different setting. In general, therefore, the individual being evaluated. Conversely, the more levels that separate the evaluator and person being evaluate, less opportunity the evaluator has to observe the individual’s behavior and, not surprising, the greater the possibility for inaccuracies.
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EMPLOYEE COMPENSATION AND BENEFITS To retain the employees within the organization all the benefit are offered. The benefits provided-for under the Policy of PEL are voluntary and not construed to have any relation whatsoever to the determination of the amount of compensation paid to an Employee, or to any of the terms of Employment, but are to deemed as voluntary regards for, and in appreciation of, faithful and, efficient service. This company is compensating the employees by following benefits: BASIC SALARY Basic salary is paid to each employees according to the grade. All the allowances are added in salary on the percentage of Basic Salary. SKILL-BASED PAY A pay system that rewards employees for the job skills they are demonstrating. Performance appraisals that determine the employees’ contribution and assist in selecting the proper salary level within the salary grade. PROMOTION INCREASE A promotion is a permanent assignment to a more responsible job in a higher grade or reevaluation of current job to a higher grade because of a substantial increase in responsibilities. CONFIDENTIALITY OF SALARY Salary is strictly treated as confidential. Employees do not discuss their salary with any one other than their supervisor or HR department. HOUSING ALLOWANCE All Employees are eligible to receive a Housing Allowance of a percentage (45%) of their Basic Salary is determined by the Human Resources Department.
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UTILITIES ALLOWANCE All Employees are paid a Utilities Allowance of their Basic Salary, is determined by the Human Resources Department. (e.g. Electricity) BONUSES This company offers four bonuses to its employees. One bonus is equivalent to 30 days basic pay. As the bonuses are given 3 or 4 times in a year therefore the numbers of days changes.
CAR FOR MANAGERS PEL offers the following models of car on installment with the service of 3 years and his installment is deducted from his salary. •
Mehran
•
Cultus
•
Liana
•
Honda City Vario
•
Honda VTI PT
HAJJ SCHEME •
Total 6 (six) employees (workers / staff up to E1) are sent every year
•
Employees are selected through balloting process
•
Employees with minimum service of 5 years with PEL Group are eligible fort this scheme
•
Cost of fares and stay in Saudi Arabia during Hajj Period will bone by company
•
Selected employees are provided leave with pay during the period
•
Theses leaves are not deducted from authorized leaves of the individual
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GROUP LIFE INSURANCE The company has assured all permanent employees in “Group Life Insurance”. A comprehensive benefit coverage policy has been undertaken with the spirit of concern and well being that the company cherishes for its employees. This policy covers: •
Death due to any cause
•
Permanent, total & Partial Disability Benefit
•
Accidental Disability Benefits
•
Body Injury
•
Accidents
•
Total Disablement
•
Partial Disablement
•
Loss of Limbs
LEAVE Leave is very important for smooth running of the business each department and for satisfaction of employees. PEL is compensating the following leaves: Total leave : In PEL, regular employees are entitled to total leave of Thirty (30) workday (Annual/Sick/Causal) after completing one year of continuous service to enable them to rest from their daily routines. Annual vacation is calculated on a calendar year basis. An employee who is hired during the calendar year basis and employee who is hired during the calendar year shall earn vacation credits on a prorated basis until December 31st of that year and theses are given to him on completion of one year’s service.
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Leave Entitlement: Category/ Grade of
Annual/Sick/Causal
Maximum Accumulation
Leaves 30
of Leaves 90
Employees Staff Grade JE and above •
After the completion of 12 months a continuous service, the above mentioned leaves(s) are credited to the employee’s account, thereafter the credit of leave(s) are made on 1st January every year.
•
Employees having annual accumulation upto 90 days can get their leave encashed at any time leaving a balance of 30 days minimum.
•
During probation, Executives may be allowed leave without pay for a maximum, of 10 days.
Work accident leave If an employee who is not covered under Social Security, meet with an accident arising out of and in the course of his employment, shall be allowed work accident leave if recommended by a specialist Doctor and the concerned Head of Department. Other following leave are: •
Annual Leave (Trainees)
•
Short Leave
•
Leave without pay
•
Sandwich Holiday
•
Public Holidays
•
Compensatory Leave
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RELOCATION ALLOWANCE PEL may relocate from time to time any employee from his/her current location to any other region/city within Pakistan. The purpose of such transfer is focused on the development of employee and benefits of the company. In such cases, relocation allowance is provided by the company as per approved scheduled.
Grade JE-E1 M1 M2- M3 M4 M5 M6
Relocation Allowance 3,000/8,000/10,000/15,000/20,000/25,000/-
In addition to this, company shall provide a lump sum amount as a Disturbance Allowance (1.5 Basil Salary) to the employees in all Grades. 1.
Household, Personal Belonging Packing & Transportation: Company bear the cost of removal of material and also make arrangements for truck or container for shifting to new location.
2.
Travel Cost: Cost for employees and immediate family (spouse & Children) are reimbursed by the company. In case of traveling by air (is applicable), employees are rimbursed as: Self/ Family
3.
-
As per entitlement.
House Rent: In case of Advance Rent/Security to get the ownership of the house,
Company provide loan to the employee (maximum of 6 month’s advance) which shall be deducted from his/her salary in 12 equal installments. MOTORCYCLE LOAN FOR EXECUTIVE
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Junior
Executive
Marketing
and
Executive
in
Grade
E-III
and
above
working
in
/ Customer Services Divisions, where nature of job entails traveling,
are entitled to Motorcycle under the sales/ After Sales froes Scheme. Junior Executive / Executives may be paid a special duty conveyance allowance per month, which is announced from time to time. In case of sepration before 5 years, Management may, in its direction, allow to purchase the motorcycle on book values plus lease charges. PROVIDENT FUND All permanent employees who have completed their probation period are eligible to join the Group’s Provident Fund. The rate of contribution is Employee
10% of Basic Salary
Employer
10% of Basic Salary
The entire amount of Employee’s and Group’s contributions together with interest is payable to the employees upon separation from services. Mobile Phone Policy Entitle of Mobile phones and their billing is allowed to employees as mentioned in the following table. Grade
Billing Limit Rs./month
M1-M6 E3 to E1 Sales Officer (AD) JE & below
1,500 to 3,000 1,000 ---300
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Billing limit (for sale and marketing staff Rs./month) 1,600 to 3,500 1,500 600 300
Limit for Mobile Phone Set Rs. 8000 to 20,000 Not Allowed Not Allowed Not Allowed
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•
In case of mobile set is stolen or snatched, employee (Manager) provide the FIR to enable the company to file the insurance claim. Manager is responsible to provide FIR.
•
In case of official foreign travel, managers provide with international roaming facility and cost of official calls during foreign travel borne by the company over the limited mentioned above.
•
Private International calls are not covered in the above limit and is borne by the Manager privately. HEALTH POLICY
Medical / Hospitalization Expenses In PEL to assist the permanent employees and their immediate family members (spouse and dependent children not more than 19 years old) and incase of unmarried and full time students the limit is increase (to 23 years) to maintain their good health and pay for costs incurred on medicines, medical services and hospitalization for themselves and their eligible family members, the company reimburse 100% of the employee’s actual expenses. The employees are reimbursed for the expenses on presentation of a Doctor’s prescription and receipts. •
Medical expenses (purchase of medicines) etc. for upto or less than Rs. 500 for Mangers and Rs. 300 for Executives is exempted from presentation of Doctor’s prescription. This applies to an individual bill (receipt).
•
In case, chronic diseases (heart, sugar, blood pressure etc.) doctor’s prescription shall be required for once and not with rest of the claims for that particular treatment, unless there is a change in medication (costing more than 500 for Mangers and Rs. 300 for Executives) prescribed by doctor.
•
After every six months, employee shall be required to submit a copy of prescription for that particular treatment.
•
However, in case of such prolonging diseases, IR & Admin department at times may ask an employee submit a copy of prescription for proper record purposes.
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The company make provision to cover the expenses for : •
All medicated toiletries / cosmetic items e.g. tooth pastes, shampoos, creams and soaps etc. even if prescribed by a doctor are not entertained for payment by the company. Similarly all diet items. e.g. mega diets, slimming diets, powder milk, etc. is not admissible in the medial bills.
•
For injuries as a result of actively participating in a criminal act.
•
For injuries or diseases sustained as a consequence of attempted suicide, selfinflicted injuries, or employee’s own provocation.
•
For health examination unless made in connection with an accidental body injure or sickness.
•
Executives’ level employees are restricted to purchase the medicine maximum to 15 days only.
Dental Cover Following dental care expenses are not reimbursed. •
Tooth Extraction
•
Scaling
•
Accidental Injures
•
Tooth Decay Treatment
•
Doctor Consultancy Fee
Expenses related to the following categories are not covered •
Dentures
•
Cosmetic Surgery
•
Braces
•
Gold Fillings
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Spectacles No employee is entitled to the reimbursement of expenses incurred on the purchase of spectacles or contact lenses. However, in case of surgical treatment of cataract, an expense on account of lenses is allowed. Immunization: Employees are immunized against Typhoid, Diphtheria, whooping Cough, Tetanus and Polio. In principle, the service is provided free by the company. Certain types of treatment. e.g. Cosmetic Surgery are excluded from company medical scheme and employee expected to cover himself/herself and their family under an insurance scheme for medical cost incurred whilst traveling privately abroad. Maternity Benefits In PEL, on production of proper bills, receipt, birth certificates and other documentary evidence, relating to the delivery, an employee shall be entitle to receive actual expenses subject to the following limits: Normal delivery cases conducted by Registered Medical Practitioners not less than MBBS: Actual expenses subject to maximum of Rs. 10,000 excluding medicines and epidural. Cases of complicated deliveries requiring caesarian operation the limit is as follows: Actual expenses of hospital in privates rooms subject to maximum room changes of Rs. 2,000/- per day plus medicines and epidural. The above facilities are limited to maximum of three deliveries. Diet expenses during confinement shall not be allowed. Hospitalization:
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•
An employee and his/her dependents (Spouse and children) shall be entitled to hospitalization for severe alignment, operation and accident within the following rules.
•
Actual expenses of the listed hospitals in General ward or equivalent plus medicines.
•
Actual expenses of hospital in private room subject to the Maximum room charges of Rs. 2,000/- per day plus medicine.
The following hospitals Government or Private for the purpose of these rules are treated as standard Hospitals in Lahore: •
Mayo Hospital
•
General Hospital
•
Gulab Devi Hospital
•
Jinnah Hospital
•
Shalimar Hospital
•
Children Hospital
•
Fatima Memorial Hospital
•
Ittefaq Hospital
•
Lady Willington Hospital
•
Punjab Institute of Cardiology
•
Sheikh Zayed Hospital
•
Or Equivalent.
And employees are entitled to the reimbursement of medical expenses incurred by him/her, provided he/she medical bills duly supported by relevant prescription(s) issued by Registered Medical Practitioners, Registered Hakim or Homeopathic Doctor, along with cash memo(s)/ receipts etc.
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ORGANIZATION CAREER MANAGEMENT A sequence of positions held by a person during his or her lifetime.
EMPLOYEE JOB CHANGES Job changes within the organization Within the boundary of the organization of PEL employees are changes their jobs according to requirements of the organization. PROMOTION
Promotions are based on an individual’s qualifications, with emphasis on abilities, experience and performance, subject to a vacancy in higher grade. There is no any hard and fast rule for promotion in PEL for promotion. But on base of performance evaluation report and according to seniority the promotion are made both for executive and non-executive level employees. Normally a executive is promoted after the 3 year e.g. E3 cadre employee after 3 years is in E2 etc. TRANSFER
As the needs of the organization change, opportunities for transfer and promotion may be provided to qualified employees. Transfers is finalized in writing by the company to confirm the new position department and effective date. Transfer involves the movement of an employee from one position to another with the same grade level or from a one unit to another unit. Transfer may become necessary in order to: •
Meet operational requirements
•
Provide more effective utilization of resources
•
Create desirable working relationship among member of the organization, and
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•
Allow maximum individual development when possible.
DEMOTION
An employee may be assigned to a position with a lower level than the one he/she is currently occupying due to any of the following reasons:
Inability to cope up with the requirements of his/her present position (poor performance)
The current position is re-evaluated downwards because of a change in the nature of the job or marker conditions.
But there is no any single case of demotion in PEL that an employee has been demoted.
SEPARATION
LAYOFF On 19 September, 2008 PEL have Severance 50 employee (including management and non-management level) of different cadre. The reason was right sizing of the organization. At the time of the employees services for the period of one year were separated by given the salary of 1 month and the employees for the last 3 years in services were separated by the salary of 2 months and the employees services for the last five years were separated by given the salary of the 6 months with experience letter form the organization.
TERMINATION A few Employees are also terminated form PEL on following basis. Misconduct: An employees who misconduct with the seniors or any other activity against the company rules and regulations. Only a few cases of
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termination due to misconduct. Some of the main following acts and omission are treated as “Misconduct” in PEL: 1.
Willful insubordination or disobedience whether alone or in combination with others to any lawful and reasonable order of the superior.
2.
Theft, fraud or dishonesty in connection with employer’s business or property.
3.
Taking or giving a bribe or any illegal gratification.
4.
Habitual late attendance.
5.
Frequent repetition of any omission.
6.
willful concealment of information about individual within or outside the company and any outside organization, which may be involved directly or indirectly in subversive and illegal activities to damage the business interests, property and technical or intellectual assets of he company. Sexual Harassment: It is a Physical immoral relation of employees in organization. No any employee in PEL has been terminated on basis of sexual harassment. One reason for this case is that policies of the PEL is too much strictly implemented in such a case; and second, there are a few females in this organization. Negligence: There are only few cases of termination in respect of negligence. Such a cases held in manufacturing department and other sales department further in respect of responsibilities. In all cases of termination no contribution of Provident Fund is made.
a.
RESIGNATION Voluntary Registration: Employees who resign are expected to give their supervisors written notice of 30 (thirty) days for executives and 60 (sixty) days for Management Grade, before the effective date of resignations. Failure to provide adequate written notice will result in the deduction by the company of one/two month’s gross salary in lieu of notice.
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b.
Group Initiated Termination: Termination are initiated either for cause because of acts detrimental to the interest of the company, misconduct, for unsatisfactory performance, medical reasons, redundancy to retrenchment. The act and omissions which shall be treated as misconduct are attached. Incase of a Group initiated termination, a termination letter must be prepared and presented to the employee by the appropriate Management authority. However, no employee may be terminated without prior approval of Managing Director & information of Head Human Resource. And employees leaving the company must clear him of all company tools, equipments and/or other company property and /or money in this charge or possession and no terminating employee shall be paid any money due to him from the company unless he has been cleared of all accountabilities. An “Employee Final settlement Form” therefore be completed. Re-Employment Former employees who are re-employed (on permanent basis only) will receive credit for prior service for services awards only. For purposes related benefits (i.e. vacations, sick leave, provident fund etc.) it is required that those re-employed re-establish service eligibility as a new employees.
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6)
LABOR MANAGEMENT RELATIONS
Mr. Sher Afzal is the Head of Industrial Relations and Administration (IR&A) Department. All the labour related matters are handled by IR& A Department. Labour Union “An organization that represents workers and seeks to protect their interests through collective bargaining.”
Hierarchy of Non-Executive Staff S1
Supervisor 1
S2
Supervisor 2
S3
Supervisor 3
C1
Clerical 1
NG
Non- Grade (Worker)
Types of Worker: Total 4,000 workers are working in this factory and it this strength increased in season about 1,500 workers more. Temporary/ Seasonal Worker Such a type of recruitment is made in February to April months in respect of order from market and demand in season or economical effects. So PEL require more worker than in routine work. Similarly its sales leads to enhance the profit. Permanent Worker After three or four year temporary worker are also done permanent on the basis of performance. The benefits are also given only to permanent worker not to temporary.
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President and General Secretary PEL Labour is well established under a President, Umer Saleemi and General Secretary and Collective Bargaining Agent (CBA). Voting for Elections: The president and general secretary is selected by the voting in PEL. Shift All the employees related to manufacturing do the work in three shifts. Working Hours There are total working hour in one shift. If any worker does the work more than 8 hour then his time for work is considered as overtime. Overtime After eight hours of duty the working time period is counting as overtime and this factory is giving equal rate wages per hour. But in some organizations overtime is giving with continuous increased wage rate per hours. Wage Rate After the delectation of the Prime Minister of Pakistan on May 01, 2008 PEL has also upgraded their wages rate for labour i.e. Rs. 6,000. Labour Court Cases Mr. Saeed Ahmad in IR& A Department is handing the court cases.
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CRITICAL ANALYSIS OF THE THEORETICAL CONCEPTS RELATING TO PRACTICAL EXPERIENCES HR department does not exist in some of the organizations in Pakistan. They think that HRP is only time wasting. Its also reflects that HR department is exist only in well established organizations as well as in growing level organization as in PEL. I have analyzed the following main points:
Employees Relations Section According to my theoretical study HR department a section for all the problems listening and solving that is call employees relations section. But in PEL, HR department there is no any Employees Relation Section by which problems of the employees can be understand and solved. This department will increase the efficiency of the PEL and objectives of HR are easy to achieve as well as vision statement of PEL. Proper Compensation & Management Section All the benefit to employees are handled in different section like in IR&A, Accounts and HR section. But according to theoretical concepts all the benefits are handled in one section that is called compensation and Management Section which does not exist in PEL in HR Department. So, I recommend that a C&M section should be introduced under umbrella of HR department.
No Policy for HR Planning PEL has no any policy for HR operations. According to theoretical study company should follow the following strategies to meet its vision statement of the PEL. •
Human Resource Planning Strategy
•
Strategic planning
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No Recruitment Budget PEL has no any recruitment budget for recruitment that finance cab be controlled. Low-grade RMS The Human Resources is at low grade there a lot of facilities in RMS software but they are using its completely. No any Employees Turnover Record PEL has no planning strategy so there is not existence of Employees Turnover record. This organization has no proper working on employees rotation and PEL is not making exact employees turnover in respect of Cadre, Designation (Executive, Manager) Department, Seniority etc. where its software includes all the operations. So, HR department must design turnover chart. No promotion Criteria Policy PEL has no promotional criteria by the Human Resource Department which is normally defined in books so that promotion disputes can be settled Compensation Section PEL has not any proper system for compensation to employees so in HR Department there must be a compensation management section. Focus on Retention of Employees Whenever there area section for compensation management in HR department then thorough proper compensation employees are retained within the organization and turnover chart shows less ratio of turnover employees rather than actual. Advancement in Computerized Working This is the era of Information Technology. The functions and procedures of the PEL should be converted from manual to the automatic. It will enhance the performance of the
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Human Resource Department and ultimately of the PEL. Human Resource Department should allocate resources for this purpose.
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CONCLUSION During the internship, I perceived conclusion that PEL HR Department is at growing level. Basically HR department support the other departments to solve the problems efficiently and effectively. In PEL, Human Resource Planning is done on the basis of objectives, not parallel to the corporate level strategy. It shows that its business is at growing level and its share value is at average level in market. •
First, in case of HRP, PEL HR Department is not working on annual basis that how much manpower (employees) are required at right place and at right time so that objectives of the organization can be achieved efficiently and effectively. Currently, R&S section is working on the basis of MRF (Manpower Requisition Form) whereas this section is responsible for annual recruitment that how much manpower, what skills and where it is required on yearly basis but R&S section is not working on such planning. In case of forecasting of manpower in PEL, now HRIS (Human Resource Information System) has been introduced in software of HRMS (Human Resource Management System) which has the record for human resource forecasting and in future it is proved helpful. It also includes employee personal record and RMS (Recruitment and Management System) for recruitment.
•
Second, in case of performance management of employees, PEL is doing well working on its software i.e. PMDP (Performance Management and Development Program). PM section of PEL HR department maintain all the record (internal online) of all employees on PMDP software which also include the promotion, increment, salary, allowances, and recommendations for brilliant performance of employees.
•
Third, T&D section maintains all the training related programs in respect of PM section and recommended & consultation of concerned HOD. On the basis of the annual budget, T&D section train the employees internally; by senior or by hiring the trainer, and externally; like training seminars at local, national and international level. Only GM/HOD Cadre employees go abroad for training.
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• Forth, compensation and benefits related issues are solved by PM section with consultation and help of IR&A department & Finance Department. • Fifth, IR&A Section is working for labour management related issues like wages for employees, overtime, health and safety, union affairs, attendance of employees, maintenance, In and out of factory transportation and other administrative related issues. On every Friday, HR Forum session held in which all the sections of HR department learn a moral lessons and discussion on section to section related issues as well as department to department, excluding other meetings of HR department. Finally, PEL is serving as a good partner in industrial sector of Pakistan. Overall it is considered at middle level in industrial sector after SIMENS and Dawlance and Waves. But it doing its best efforts to meet the competitors and technologies challenges. The main efforts are focusing on its advertisement section.
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RECOMMENDATIONS After doing the practical analysis is shall give some most important recommendation for PEL HR department section vise as follow:Policy making for HR Planning PEL is going on its own planning i.e. MBOs, but to meet its vision statement they should make the policies for corporate level like •
Human Resource Planning Strategy
•
Strategic planning
Recruitment Budget PEL must plan a budget for recruitment so that financial budget can be controlled. Online Application Submission There should be online submission system of the application for the vacant job positioning on its website. Up-gradation RMS The Human Resources Department software should take less time in recruitment and training the staff. Employees Turnover Chart PEL HR department should make the proper turnover chart so that its planning strategy can exist for record of its employees. For proper working on employees rotation in respect of Cadre, Designation (Executive, Manager) Department, Seniority etc. then, HR department has the proper record for HRP. Enhance Training Centers More training centers should be established. If there is lack of resources, it is difficult, the training centers of the other organizations in the same capacity can be utilized by determining the terms and conditions.
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Refreshing Courses Refreshing courses should be adequate and more frequent during the year. Competitive Evaluation by PMD The proper and competitive evaluation of the methods and procedures adopted by other competitors will enhance the performance of Human Resource Department. Promotion Criteria Policy The promotional criteria by the Human Resource Department should be defined and be as per rules. Agents for Promotion Policies Agents for the promotion of the PEL policies and to facilitate the customers by the Human Resource Department may be appointed with proper check and balance system. Emphasized on Ethical Values During the training by Human Resource Department the ethical values should be more emphasized. Compensation Section PEL has not any proper system for compensation to employees so in HR Department there must be a compensation management section. Revision of Pay Package Pay packages may be revised in the light of profit earned by the organization. Focus on Retention of Employees Whenever there area section for compensation management in HR department then thorough proper compensation employees are retained within the organization and turnover chart will show less ratio of turnover employees.
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Strictly Implementation on HR Policies PEL has its own Manual and HR policies but there is not proper implementation on policies. In this regard, HR department must strict in their policies because true result can be taken. Employees in HR department must have complete knowledge of Manual and implementation. One Window Operation Human Resource Department may advice and train employees for one window operation in order to reduce the time and conserve the resources. Quarter-Based Meeting: In overall company schedules are not set for meetings. Weekly, monthly and quarterly meeting must be done to discuss the objectives of the business and achieved the target of the organization with prescribed time period. Education Allowance for Employees and their Children I recommend that PEL must determined the education allowance for employees as well for their children to retain the employees with the organization. Support Club fro Employees PEL should make the support club to retain the employees with the organization like TELENOR, NESTLE etc.
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REFERENCES AND SOURCES
BOOK
AUTHOR NAME
Managing HR
Wayne F. Cascio
Management
Stephen P. Robbins, Mary Coulter
AUTHORITY
STATUS
HR Concepts
Mr. Waqar Khadim, Head HR, PEL
Recruitment & Selection
Mr. Salman Chaudhary, Manger, (R&S) Section, PEL
Performance Evaluation
Mr. Yousuf Jamshed, AM, (PMDP) Section, PEL
Training & Deveopment
Mr. Ali Kamran, AM (T&D) Section, PEL
Labour Mangement Relations
Sher Afzal, Manger, (IR&A) Section, PEL
Through World Wide Web www.pel.com.pk
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Internship Report on PEL HR Department
ANNEXURE / APPENDICES
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Internship Report on PEL HR Department
(A)
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Internship Report on PEL HR Department
(B)
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Internship Report on PEL HR Department
(C)
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Internship Report on PEL HR Department
Remaining Pages on Excel Sheet
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