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IN THE NAME OF ALLAH WHO IS

MOST BENEFICENT AND MERCIFUL


DEDICATIONS TO:

This Holy Prophet (SAW) who taught us “Seek Knowledge from cradle to the
Grave”.

My parents whose encouragement, guidance and presence are assets of my life


My teachers who illumined the dark corners of my mind and heart.
PREFACE

This report describes the effort made by me for the learning by first hand practical

experience about a business organization. Today is the era of experience as is said

by quotation “Experience makes a man perfect.” No body can deny the importance

of practical training and experience.

Through internship students get the first touch of professional exposure of the roles;

they have to play during their professional careers. The students not only

acclimatize themselves to the corporate environment but also learn to assume

responsibility, co-operation and teamwork the hallmarks of modern management.

Having experience of sugar industry is really a good experience for me. I am

submitting all my experiences. No doubt, omissions and errors are expected but it is

requested to ignore the nominal errors.

I was lucky enough to have a chance of doing internship in HEAD OFFICE OF

LAYYAH Sugar Mills Limited KARACHI. I learnt a lot about the practical business

and above all, the mental discipline and awareness, which are the most useful tools

for an executive to raise the organizational structure.

HASEEB AKHLAQUE

KHAN
ACKNOWLEDGEMENT

First of all, I want to express all and thanks to ALMIGHTY ALLAH whose

blessings are above each and every thing which make me able to present my tiny

effort. All prays to HAZRAT MUHAMMAD (PBUH) who is the reason for

creation of the universe and whose kindness came to my part.

Secondly on the successful completion of my internship program, I whish to express

my gratitude and heart worthy acknowledgement to my professors for full co-

operation and helped me in completing this report. I feel utmost pride in

acknowledging with sincere gratitude for the valuable guidance I have received from

Mr. Hassan buchas and Mr.zubair.

They have been a constant source of enthusiastic encouragement through out the

internship program. Due to their guidance I have become able to complete

internship as well as this report. Their advice, criticism and remarks were of the

most value to me.


GROWTH OF SUGAR INDUSTRY IN PAKISTAN

Sugar is the important sector of the Pakistan’s economy. Sugar industry plays a vital

role for development of any country’s economy. In Pakistan this industry play a

significant role for economic development.

Its share in the large scale industry is 18% and in GDP is 1.9%.sugar industry

contribution to the government exchequer in Federal excise duty is 11.2%.

HISTORY

The sugar industry, which is endowed with a strong base of sugarcane, had started

its journey from almost non-existence in 1947. The industry has gone through a long

way and now possesses 77 sugar mills in all over the country. The Sugar industry

not only fulfills the entire local requirement but also sharing out the total foreign

exchange earning.

At present Pakistan’s sugar industry is facing lot of problems like lesser demand of

sugar in the country due to recession in the economy, declining prices into the

domestic as well as international markets & huge unsold stock of sugar.

Government role in R & D for developing the sugarcane varieties is not very

significance; only few private institutions are doing some research in R & D in

developing various varieties with higher yield.


Pakistan sugar industries still have 34% un-utilized capacity. Which can be utilized

by further developing the 13224 hectares area along the main feeder canal from

Indus river in Sindh. By which we can increase our export to 50000 ton. ( this

export to Arab World can be exchange of half million barrels of crude oil for

Pakistan.

In Pakistan present sugar cane varieties are not yielding reasonable production and

led to the prevailing sugar crisis. As described by the table.

Countries 1989-92 1993-97 1998-2002

USA 77.44 76.80 75.19


Mauritius 70.33 72.83 71.39
India 66.06 64.14 70.30
Brazil 62.02 61074 67.42
Pakistan 41.55 43.38 43.54
Cuba 59.98 57.04 34.83

Source: down EBR July 12-18,2002

GROUP PROFILE

The company has been sponsored by SIKANDER GROUP OF INDUSTRIES in

ISLAM ABAD. The sponsors comprise of a family of good repute and their friends.

They have vast experience of running project as well as manpower administration,

monitoring of projects and finance and accounts.


Sr. #Company Name & Location

1 LAYYAH SUGAR MILLS LIMITED

Site:
Layyah,

Distt. Layyah, Punjab, PAKISTAN.

HEAD OFFICE:

GULSHAN LAHORE

MANAGEMENT PROFILE

Chairman MIAN FAZAL HUSSAIN

Chief Executive MR. JAHANZAIB FAZAL

Managing Director Mr. RAISUDDINE SHAIKH


Director finance Mr. Bashir Ahmed
Director (HRD&P) Mr. Noor Ahmed Zaib
Manager(HRD&P) Mr. AKHLAQUE KHAN
General Manager (f) Mr. Ghulam Hassan shigri
General Manager (plant) Mr. Mohabbat Ali Khan
Auditors:
Mr. Nouman Mehmood, FCA
Avais Hyder Zaman Rizwani

Legal Advisors:
Mr. Muneeb Akhter Advocate
A.K.Brohi & co.
Banks Muslim Commercial Bank Limited
National Bank of Pakistan
Habib Bank of Pakistan

MISSION OF LAYYAH SUGAR MILLS


LIMITED
 To produce superior quality White Refined sugar.

 To face competition in the Local & International Market.

 Total Quality Management.


OBJECTIVES

Following are the objectives of company.

1. Total quality focus to meet customer’s requirements.

2. The highest standard of business ethics.

3. To care on the business ethics.

4. To carry on the business at best possible level.

5. To guarantee performance of contracts by members or

persons having dealing with the company.


BRIEF INTRODUCTION

INCORPORATION

LAYYAH Sugar Mills Limited was incorporated on May 26, 1954 as a public

limited company. The authorized capital of the share of the company was

Rs.350, 000,000/-.Uder the policy of privatization of Govt. of Pakistan under

the supervision of Prime Minister Mian Nawaz Sharif, the Layyah Sugar Mills

was privatized in May 1992 with the net amount of RS.150,00,000 and an

agreement of fulfilling the liabilities of the sugar mill for the compensation of its

accounts to the employees and other stakeholders. The previous sponsor of the

company could not manage to setup the project and finally on intervention of

the BEL shares.

The management of the project was transferred to the new sponsors in 1992.

The mill is spread over the area of 250 acres land.

NATURE OF BUSINESS

Crushing of Sugarcane & Raw Sugar in to White Refined Sugar.


LOCATION

LAYYAH Sugar Mills Limited is located at distance of about 3 KM from the

city of Layyah.

HEAD OFFICE

Head Office of LAYYAH Sugar Mills Limited is located at Fazal Manzil,

Gulshan Lahore.

FINANCIAL YEAR

The financial year of the company is from 1st October to 30th September.

RAW MATERIAL

The main raw material for the mill is sugarcane, which is abundantly available in

Pakistan.

The second raw material is Baggas. Some of which is obtained by the own crushing

the other will be purchased by the Beggas Venders/Suppliers.


MAIN COMPETITORS

 Sheikhoo Sugar Mills kot Adu

 Fatima Sugar Mills Sanawan

 Bhukar Sugar Mills Bhukar

 Khan Sugar Mills Faisal Abad

 Sharif Sugar Mills Mian Chunnu


WORK FORCE

Detail of total working force at site and at head office is as under:

AT SITE

Permanent Employees 457

Temporary Employees 150

Seasonal Employees 400 (app.)

Daily Wages Employees 40

Total 1047

AT HEAD OFFICE

Permanent employees 25

Temporary Employees 5

Total 30
PRODUCTS OF THE COMPANY
SUGAR INDUSTRY IS AN AGRO-BASED INDUSTRY, WHICH PROVIDES
EMPLOYMENT TO THE LANDLESS RURAL POPULATION AND HASE A GREATE
IMPECT ON THE ECONOMY OF A COUNTRY.
The main product of the company is White Refined Sugar.

The three principle bye-products of a sugar industry are


1. Bagasses
2. Molasses
3. PRESS CAKES (WHICH R ABOUT 40% OF THE WEIGHT OF TOTAL CANE CRUSHED.)

4. MUD

WHITE REFINED SUGAR

Major business of the company is to produce white refined cane sugar of

intermission standard and from the erased cane and three different components are

achieved that are fibber, Pith and Moisture.

MOLASSES:
THIS IS A BY-PRODUCT AND IT IS SOLD TO MOLASSES CONTRACTORS. ONE OF
THE ALLIED CONCERN, RELIANCE COMMODITIES (PVT.) LIMITED IS THE MAIN
BUYER OF THE MOLASSES OF LAYYAH SUGAR MILLS LIMITED AND ALSO THE
MAIN BUYER OF MOLASSES FROM WHOLE THE COUNTRY.RELIANCE
COMMODITIES (PVT) LIMITED IS THE MAIN EXPORTER OF MOLASSES IN
PAKISTAN. Molasses may be used for the production of power alcohol acid portable
spirits.
BAGGAS:

This is also a by-product of the company. Begass is used as source of energy fuel for
sugar industry for juice heating. and also used for making medium density fiber

board (MDFB). baggasse is sold to the baggasse contractors.

MUD:

Mud is also the by-product of the company. It is sold to the Mud Contractors.

This is used in making chocolates and other products.

PRESS CAKE:

Press cake of sulphitation factories are used as manure and that of carbonation

factories are usually burnt.


MAIN DEPARTMENTS
Following are the main departments at Site and at Head Office.

AT SITE

1. MECHANICAL

2. ELECTRICAL

3. CHEMICAL

4. CANE

5. ACCOUNTS

6. COMPUTER

7. ADMINISTRATION

AT HEAD OFFICE

1. FINANCE

2. ACCOUNTS

3. ADMINISTRATION

4. PURCHASE

5. SALE
ADMIN DEPARTMENT

Admin department is the department, which is dealing matters about administration.

This department plays very important role for maintaining discipline in the mills.

Admin department is working under Admin Officer, who has much more experience

about administration matters.

FUNCTIONS

The main function of this department is to handle all the administrative matters and

maintaining discipline. The main goal of this department is to provide easy working

environment. This is very important department of the organization as the name

shows; this department has to administrate all the operations of the organization.

Sections of this department are divided into offices as under:

 Gate Office

 Time Office

 Security Guard Office

 Labor Office

GATE OFFICE

This office has been made to keep the record of each and every thing coming into
and going out of the mills gate.

For this purpose gate office clerk maintains two types of registers called;

1. Outward going pass register

2. Inward going pass register.

When every thing including raw material, stores supplies, or any other thing comes

into the mills premises a document named as I.G.P is made in which information like

date of supplier, description, quantity of the material and any other remarks are

written. In the same way, O.G.P is prepared for out going things etc.

TIME OFFICE

 This office keeps and maintains the time record of all the workers on time

cards and pay register for the final costing of the workers salaries.

 It keeps the attendance records, which is than used to calculate the salary

to be paid to the workers on monthly basis.

 It keeps the records of the over time, leaves, number of days worked of

all the workers and than calculate their over time on the basis of the basic

salary of each worker.

 It keeps the records of Social Security, EOBI, Education Cases etc. of

each employee / worker payable to government treasury.

It keeps the records of Gratuity, Bonus, Pensions and other benefits including CPL

(Cash Paid Leave) to each employee / worker of the organization.


SECURITY GUARD OFFICE

The main objectives of the security office is to safe handling of the goods from / to

the mill premises. For the achievement of such objective a team of security guards

has been employed by the company. All the keys relating to the mills office, labor

colony, (quarters) are lying into the responsibility of the security officer.

 No out side visitor can come into the mills premises without the

permission of the security guards.

 Whenever any visitor wants to enter into the mill, security guards firstly

contact with the authority in the mill to grant the permission to enter into

the mill premises.

 Security guards can check each and every person before coming in or

going out of the company gate for the security purposes.

 They see and check the outward going pass of the certain things when

these ought to bring out of the mill premises.

 They are in uniforms of dark green color.

They are the guardians of the every thing of the company.

The organization also has purchased a human scanning security system, through
which the record of each employee and visitor is maintained. This system has
reduced the fair of any type of theft.

HUMAN RESOURCE DEPARTMENT.


As required by the labor laws of the Government of Pakistan, this office

has been setup to deal with all the matters that are related with labor and other

human resources. The Manager (HRD&P) is the head of the H.R.DEPT.

 He is responsible to resolve all the disputes, conflicts, misunderstandings and

any other hind of matter, which may arise from time to time between the labor

and the immediate supervisor, or with any other person in the organization.

 It is the duty of the Manager (HRD&P) to inform the legal requirements

concerning the labor and company affairs.

 It is also the duty of the Manager (HRD&P) to satisfy himself regarding

payment of bonus, gratuity, and other benefits to labor and to keep their

morale and motivational level high.

 It is also a requirement to be a successful Manager (HRD&P) that he should

keep his knowledge up to date regarding the rules and regulations of the labor

department.

 Manager (HRD&P) is responsible for the implementation of the strategies and

rules made by the higher authorities.

 Manager (HRD&P) also helps the higher authorities in strategic decision-


making.
Career Management
Career planning and development are relatively new concepts in many
HR departments. In recent years, these departments have begun to recognize the
need for more proactive career-related efforts. As a result, some departments
provide career education, information, and counseling. However, the primary
responsibility for career planning and development rests with the individual
employee.

The planning process enables employees to identify career goals and the paths to
those goals. Then, through developmental activities, the workers seek ways to
improve themselves and further their career goals. Even today, most developmental
activities are individual and voluntary. Individual efforts include good job
performance, favorable exposure, leveraging, and the building of alliance. The HR
department becomes involved by providing information and obtaining management
support to help make career planning a success for both the employees and the
organization.

Career planning does not guarantee success, but without it, employees are seldom
ready for the career opportunities that arise. As a result, their career progress may
be slowed and the HR department may be unable to fill openings internally.

A Systems view of Career Planning and Development

(Career Paths)
Career Planning Career Goals

Career
Development

(Feedback)

Different terminologies which are commonly covered in career management


Career:
A career is all the jobs that are held during one’s working life.
Career Path:
A career path is a sequential pattern of jobs that form one’s career.
Career Goals:
The future positions one strives to reach as a part of career. These goals serve
as a benchmarks along one’s career path.
Career Planning:
The process by which one selects career goals and the path to those goals.
Career Development:
Career development consists of personnel improvements one undertakes to
achieve personnel career plans.

Now we discuss the various human resource activities to the career management in
our organization.
Job Analysis and Design
Job analysis information provides the foundation for an organization’s human
resource information system. Analysts seek to gain a general understanding of the
organization and the work it performs. Then they design job analysis questionnaires
to collect specific data about jobs, jobholder characteristics, and job performance
standards. The job analysis information can be collected through interviews, juries
of experts, mail questionnaires, employee logs, direct observation, or a combination
of these techniques. Once collected, the data are converted into such useful
applications as job descriptions, job specification’s and job standards.

Job analysis information is important because it tells HR specialists which duties


and responsibilities are associated with each job. This information is used when HR
specialists undertake HR management activities such as job design, recruiting, and
selection. Jobs are the link between organizations and their human resources. The
combined accomplishment of every job allows the organizations to meet its
objectives. Similarly, jobs represent not only a source of income to workers but also
a means for fulfilling their needs. However, for the organization and its employees
to receive these mutual benefits, jobs must provide a high quality of work life.

Achieving a high quality of work life requires jobs that are well designed. Effective
job design requires a trade-off between efficiency and behavioral elements.
Efficiency elements stress productivity; behavioral elements focus on employee
needs. The role of managers and HR specialists is to achieve a balance between
these trade-offs. When jobs are underspecialized, job designers may simplify a job
by reducing the number of tasks. If jobs are overspecialized, they must be expand
or enriched.
Relative To Career Management

 Provides base for the job orientation that ultimately help in career
management.

 It helps to reduce reality shock that ultimately minimize the turn over ratio
 HR department provides career information that is career path and job
description and specification of each job by using the job analysis.
 It helps supervisor during career counseling.
 It helps employees to set goals and career planning.
 It provides information for future training and development of the employee
to each his or her career goals.
 It helps in career development action of the employees
Organization view
Layyah Sugar Mills considers the job analysis. In orientation for career
information, to reduce reality shock, career counseling and career development.
Employee’s view
 First level employees: The orientation is not comprehensive and does
not reduce the reality shock completely. Organization is not providing
career information properly.
 Middle level employees: They are satisfied with organization effort.
 Upper level employees: they think that professional approaches
should be followed.

HR Planning

It is a systematically forecasting of an organization’s future demand for and


supply of employees. It integrates strategic demands with appropriate staffing
levels and also helps in improving the utilization of human resources. To
match HR activities and future organizational objectives efficiently and to
achieve economies in hiring new workers Most of the organizations are using
the tools of HR planning. HR planning helps in making major demands of
local markets successfully. In coordinate different HR programs such as
affirmative action plans and hiring needs. Different forecasting techniques are
used to predict the future demand and supply of employees.
Relative To Career Management
 It helps in short range and long range plans that outline the future demands
and sources of supply. Tight market is the indication of strong career
development and loose market is the indication of weak career management.
 HRP helps the organization to manage the training and development program
for career development of the employees
 It helps supervisor during career counseling.
 It helps employees to set goals and career planning.
 It provides information for future training and development of the employee
to each his or her career goals.
 It helps in career development action of the employees
 It is the basic requirement of succession planning.
Organization view

Layyah Sugar Mills is considering HRP once in a year but not considering the

succession planning.

Employee’s view

 First level employees: yes they are conducting the HRP but we think it

is not helping us in our career development.

 Middle level employees: They are agreed with above arguments of

first level employees.

 Upper level employees: same thinking as above two.

Recruitment and Selection

Recruitment is the process of finding and attracting capable applicants to apply for
employment. Although operating managers are often involved, much of the
recruitment process is the responsibility of professionals in the HR department;
these professionals are called recruiters. Recruiters should be aware of the
constraints and challenges surrounding the recruitment process before they attempt
to find suitable applicants.
Recruiters pursue applicants through a variety of channels. Although walk-ins and
write-ins are a common source, the growing diversity in the workforce and changing
demographics often require recruiters to be more proactive. Employee referrals and
advertisements are other sources. To help recruiters, a variety of public and private
organizations exists, such as state unemployment offices, private placement
agencies, and search firms. Many institutions—schools, labour organizations,
professional associations, military facilities, government and community training
programs—also provide placement assistance that recruiters can access.
Temporary, leased, and departing employees are other sources of potential recruits.

International recruitment faces many of the same issues as domestic staffing except
that the issues are often far more complex regardless of whether the recruiter seeks
to bring someone to the home country or send that person overseas. Of particular
importance, recruiters must be aware of national differences in recruitment practices
and employee expectations.

The selection process depends heavily on inputs such as job analysis, HR plans, and
recruitment. These inputs are used within the context of challenges posed by
organizational policies, equal employment laws, Immigration and Naturalization
Service rules, a slow-growing supply of labour, credential distortion, and other legal
concerns faced by the organization.

The key challenge that underlies the entire selection process is to ensure that the
steps in the process are valid. In all phases of the selection process, HR
professionals also must be concerned about the potential for an adverse impact
during the various steps of the process. Even when the overall selection process
does not have an adverse impact on members of protected classes, evidence of a
discriminatory impact at any stage of the process should be investigated and the
discrimination should be eliminated wherever it is found.
Steps in the Selection Process

The selection process must take recruits and put them through a series of steps to
evaluate their potential. These steps vary from organization to organization and
from one job opening to another. In general, the selection procedure relies on
testing for many hourly jobs and on interviews for virtually every opening that is to
be filled. References and medical evaluations are common aspects of the selection
process of many employers.
The supervisor’s role should include participation in the selection process, usually
through an interview with job candidates. As a result of this participation, the
supervisor is more likely to be committed to the new worker’s success. Growing
research evidence supports the use of realistic job previews.
Once the hiring decision is made, the HRIS should be updated with detailed
information about the new hire. If the department uses valid procedures and ethical
behaviors, it can make a substantial contribution to the success of the employer and
therefore the bottom line.
Relative To Career Management

 It helps in making the good pool of employees and in selection of the

appropriate employee for an appropriate job so that the turn over ratio can be

minimized which ultimately helps in good career development.

Organization view

Layyah Sugar Mills has a comprehensive setup for recruitment and selection.

Different techniques like job interview, old job performance, panel interviews

etc.

References are also obliged.

Employee’s view

 First level employees: No, they only make recruitments on the

references.

 Middle level employees: They are satisfied with organization effort.

 Upper level employees: they think that professional approaches

should be followed.
Orientation And Placement
Once the selection process has been completed, new employees must be oriented in
order to become productive contributors. Orientation not only improves the rate at
which employees are able to perform their jobs but also helps employees satisfy
their personal desire to feel they are part of the organization’s social fabric. The HR
department generally orients newcomers to broad organizational issues and fringe
benefits. Supervisors complete the orientation by introducing new employees to
coworkers and others involved in the job. A “buddy” may be assigned to continue
the process.

Proactive HR departments follow up after the orientation to ensure that the


employees do not have any remaining questions and check on the quality of the
orientation.

When job openings are filled internally, the placement process also should include
an orientation, especially placement decisions that involve moving people across
international borders. The process of placing current employees in different jobs or
separating them from the organization often involves a decision made by line
managers in consultation with the HR department. Included here promotion,
transfers, and demotion. Although promotions come about in a variety of ways, they
usually result from merit, seniority, self-nomination, or a combination of those
approaches. Transfers and demotions also call for the advice of the HR department.

Relative To Career Management

 Orientation helps in making the employees able to set their career path and

career development.

 Placement helps the employee to achieve their career goals and also helps to

reduce the stalled career.

 Placement is also an important source of increase the motivation and loyalty

of the employees.

Organization view
Layyah Sugar Mills is completely fulfilling the above defined goals of placement

and orientation.

Employee’s view

 First level employees: No, they think that placement decisions are

made on the favouratism and personnel influences and we did not get

any orientation.

 Middle level employees: They are satisfied with organization effort.

 Upper level employees: orientation and placement efforts are

appropriate.

Training and Development


After workers have been selected and oriented, they may still lack the skills,
knowledge, and abilities needed to perform successfully. Most workers require
some training to do their current jobs properly. If the organization wishes to place
these employees in more responsible positions in the future, developmental activities
also have to take place. For most workers and trainers, individual learning sessions
are a blend of training and development.

Most large organizations make available a broad array of educational opportunities.


However, trainers should conduct a needs assessment to determine if the training is
truly needed and, if it is needed, what it should cover. Training and development, or
learning, objectives result from the needs assessment. Trainers can plan the content
of the course from these objectives and incorporate as many learning principles as is
feasible.

Merely conducting training—even when a careful needs assessment has been


undertaken—is insufficient. Experienced trainers try to evaluate the impact of
training and development activities. Often this involves a pretest and a posttest and
even follow-up studies to see if the learning was transferred to the job.
HR development prepares individuals for future job responsibilities. At the same
time, it attempts to contend with employee obsolescence, international and domestic
workforce diversity, technological changes, affirmative action, and employee
turnover.
Relative To Career Management

Training and development programs play a vital role in the career management

of the employees. It able employees to achieve their career goals and for career

development. It also helps in succession planning.

Organization view

Layyah Sugar Mills is providing their employees training through different

programs but most of the techniques used are on the job. Off the job training is

somewhat applies to the higher level management and mechanical staff.

Employee’s view

 First level employees: yes. They are providing but up to some extent.

Because for training and development is not merit basis & there is no

procedure for the off the job training.

 Middle level employees: No, organization is not providing good

opportunities for training and development. They are not satisfied with

organization effort.

 Upper level employees: they think that organization is not following a

professional approach. They are providing us training for only the

existing jobs not for the future career.


Performance Appraisal
Performance appraisal is a critical activity of HR management. Its goal is to provide
an accurate picture of past and / or future employee performance. To achieve this,
performance standards are established. The standards are based on the job-related
criteria that best determine successful job performance. Where possible, actual
performance is measured directly and objectively. Form a wide variety of appraisal
techniques; specialists select the methods that most effectively measure employee
performance against the previously set standards. Techniques can be selected both
to review past performance and to anticipate performance in the future.

The appraisal process is usually designed by the HR department, often with little
input from other parts of the organization. When it is time to implement a new
appraisal approach, those who do the rating may have little idea about the appraisal
process or its objectives. To overcome this shortcoming, the HR department may
design and conduct appraisal workshops to train managers.

A necessary requirement of the appraisal process is employee feedback through an


evaluation interview. The interviewer tries to balance positive areas of good
performance with areas where performance is deficient so that the employee
receives a realistic view. Perhaps the most significant challenge raised by
performance appraisals is the feedback they provide about the HR department’s
performance. HR specialists need to be keenly aware that poor performance,
especially when it is widespread, may reflect problems with previous HR
management activities.

1.To improve organizational performance via improving the performance of


individual contributors (should be an automatic process in the case of good
managers, but (about annually) two key questions should be posed:
o what has been done to improve the performance of a person last year?
o and what can be done to improve his or her performance in the year to
come?).
2. To identify potential, i.e. to recognize existing talent and to use that to fill
vacancies higher in the organization or to transfer individuals into jobs where
better use can be made of their abilities or developing skills.
3. To provide an equitable method of linking payment to performance where there
are no numerical criteria (often this salary performance review takes place about
three months later and is kept quite separate from 1. and 2. but is based on the same
assessment).

Relative To Career Management

• provide feedback for career development action

• it helps in placement decision on the basis of performance.

• You can set the targets and standard which becomes the first step for the

career development.

• Made a standard routine task

• it aids the development of talent

• can be an effective form of motivation.

• It creates or does not create the need for career development.

• It describes the training and development needs.

Organization view

Layyah Sugar Mills strongly applies performance appraisal but there are chances

of error bias as halo effect, the affect of central tendency etc.

Employee’s view

 First level employees: performance appraisal does not measure the

actual performance efficiency. It is not sensitive.

 Middle level employees: Same as first level employees.

 Upper level employees: Same as first level employees.


ORGANIZATIONAL INCENTIVES

NSML has a well-formed human resource department (HRD), due to which a lot

had been done and is being done to make the moral of the workers of the

Organization high & high.

WPPF (WORKERS PROFIT PARTICIPATION FUND)

This is the name of the fund given to workers when company earns profit. It is 5%

of the total profits earned during an accounting year. Every workers / Employee

whose not pay is up to Rs. 3000/= is eligible for getting this fund.

BONUS POLICY:

The company maintains a bonus policy for its workers to initiate the motive to work

whole-heartedly for increasing workers and organizational efficiency. According to

this policy, company shall give sum equivalent 60% basic salaries of worker at the

end of the every accounting year in case of report earning.

SOCIAL SECURITY FACILITY:

The company deducts a nominal amount in the account of social security from the

salaries of the workers on monthly basis. This deducted amount is submitted to the

social security and they allot a social security number with an identification card,

which shows that the worker had got the facility of social security. Major advantage
provided through social security number is the free health care including medical

and surgery facilities from the specified social security hospitals.

E.O.B.I (EMPLOYEES OLD AGE BENEFITS INSTITUTION)

This is an important deduction from the salaries of the workers for the regular

income in the old age / post retirement age so that workers have a thought of relief

that there would be no financial problem after the expiry of his employment. EOBI

is an institution where this deducted amount is accumulated for the future use when

these people will not be able for employment.

HOUSING FACILITIES:

The workers have provided with the residential facilities and small quarters are

provided to the workers. These quarters are often visited by the resident director for

the checking of cleanliness and other important matters if raised by any situation

from the workers side.

COMPANY CANTEEN:

Company has given the provision of a canteen / café-teria for its workers and

employees. The quality of the food available in the factory canteen is under the

supervision of the labor officer.

LUNCH & TEA:


According to the scheme, company gives lunch to all its workers / employees once

in every month.

It also gives two times tea and lunch free to the executive level.
TABLE OF CONTENTS

Sr. # Topic Page #


01 Growth of Sugar Industry in Pakistan 04
02 Introduction 08
03 Main Departments at Site 14
04 Mechanical Department 15
05 Electrical Department 16
06 Chemical Department 17
07 Cane Department 18
08 Accounting Department 20
09 Admin Department 29
10 Main Departments at Head Office (Finance) 33
11 Accounts Department 35
12 Export & Import Department 40
13 Purchase Department 44
14 Sales Department 46
15 Banking Section 47
16 Organizational Incentives 61
17 Quality Management 65
18 Ratio Analysis 69
19 Statement of Cash Flow 74
20 Interpretation 76
21 Problems of Sugar Industry 79
22 SWOT Analysis 80
23 Comments in Brief and Suggestions 81